Bitcoin Gains Momentum But Struggles With Significant Selling Pressure

Mar 16, 2023 at 11:39 // Price
Coin Idol
At higher price levels, there are not enough buyers to sustain the positive momentum

The price of Bitcoin (BTC) has changed significantly after breaking through the overriding resistance of $25,000 and reaching a high of $26,529.

Bitcoin price long-term forecast: bullish

Unfortunately, buyers were unable to sustain the bullish momentum above the overriding resistance, which led to a decline. At the time of writing, the price of one bitcoin is at $24,662. On March 14, there was significant selling pressure above the upper resistance, which wiped out the positive momentum. The extended candle wick on March 14 suggests that there is strong selling pressure at higher price levels. Nonetheless, the bitcoin price is rallying below the resistance level. A price rally could break above the $25,000 and $26,529 resistance levels. The bullish momentum will continue until the price tops of $30,000 and $32,000.The price tops of $30,000 and $32,000 will be reached by the bullish momentum. On the other hand, the current rally may expire if the BTC price falls and breaks either the moving average line or the support at $23,000.

Bitcoin indicator display

Bitcoin is at level 61 of the Relative Strength Index for period 14. Due to the stronger price movement, the RSI has risen in the uptrend zone. The price bars are above the moving average lines that caused the recent price movement. Currently, Bitcoin is trading in an oversold area of the market. Selling pressure will decrease as long as Bitcoin trades in the oversold region. It is below level 20 of the daily stochastic.

BTCUSD(Daily Chart) - March 16.23.jpg

Technical indicators:

Key resistance levels - $30,000 and $35,000

Key support levels - $20,000 and $15,000

What is the next direction for BTC/USD?

Bitcoin (BTC), which had reached a low of $23,940, has subsequently started to rise again. Buyers have rallied above the $24,000 support as the price approaches the oversold zone. Bitcoin will rise if buyers maintain their bullish momentum above resistance levels. At higher price levels, there are not enough buyers to sustain the positive momentum.

BTCUSD(4 Hour Chart) - March 16.23.jpg

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing in funds.

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