Is BTC in danger of falling to $50,000 again?

After a pointy decline, Bitcoin discovered robust assist close to the $50,000 mark and skilled a major rebound.

Nonetheless, the worth is now approaching a major resistance space close to the 200-day shifting common at $61,000, doubtlessly finishing a pullback.

technical evaluation

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every day chart

An in depth examination of Bitcoin’s every day chart reveals a major enhance in shopping for strain and demand close to the important thing $50,000 assist space, resulting in a pointy bullish rally.

BTC then surged in the direction of key resistance areas, together with the 200-day shifting common at $61,000 and psychological resistance at $60,000. This key space is probably going full of provide, which might trigger important promoting strain and forestall additional upward momentum.

If the worth faces rejection right here, it might full a pullback, main to a different bearish transfer in the direction of the essential $50,000 threshold.

Nonetheless, there’s additionally the potential of a sudden break above this important level, which might set off a brief squeeze occasion and trigger the heart beat to surge larger. Bitcoin’s worth motion round the important thing $60,000 space can be essential in figuring out its subsequent main pattern.

4 hour chart

On the 4-hour chart, Bitcoin’s worth motion reveals that sell-side liquidity swimming pools beneath $50,000 had been absorbed and promoting strain was met by important demand and shopping for curiosity.

This resulted in a pointy bullish rally, triggering an impulsive surge. Bullish divergence between the worth and the RSI indicator additionally signifies continued growing shopping for strain, appearing as a catalyst for the uptrend.

Nonetheless, the worth has now reached important resistance areas, marked by the 0.5 ($59,000) and 0.618 ($62,000) Fibonacci ranges.

This space has the potential to halt the upward momentum and push the worth again in the direction of the $50,000 stage. If Bitcoin encounters rejection close to this resistance stage, the latest features could also be seen as a short lived correction, indicating a attainable continuation of the preliminary bearish pattern within the coming days.

On-chain evaluation

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Whales are key gamers within the Bitcoin market. Their shopping for and promoting exercise considerably impacts worth actions and total traits. Analyzing their habits is essential to understanding the route of the market.

The hooked up chart reveals realized worth ranges for each short-term and long-term whales, that are essential assist and resistance areas.

At the moment, Bitcoin has fallen beneath short-term whale shopping for ranges, with the worth falling in the direction of the $49,000 to $50,000 vary. Nonetheless, demand rebounded and costs are actually shifting again in the direction of the short-term whale realization worth vary of $64,000 to $65,000.

This space is essential as it could possibly act as substantial resistance. Some whales could also be wanting to exit their positions as they method breakeven ranges, which can set off promoting strain. Value motion on this space can be essential in figuring out Bitcoin’s upcoming market route. If sellers take management, it might sign a continuation of the bearish pattern; in any other case, a profitable break above this resistance might deliver recent bullish momentum.