Bitcoin is the first digital currency based on blockchain and distributed ledger technology to hit the cryptocurrency market. Many of the other altcoins are hard or soft forked from the Bitcoin codebase. Miners who validate transactions on the Bitcoin network get BTC tokens as rewards for their services. The BTC technical analysis is as follows:
On April 28, 2021, BTC started trading at $55,036.64. On May 4, 2021, BTC closed at $53200. Thus, in the past week, the BTC price has declined by roughly 3.34%. In the last 24 hours, BTC has traded between $52,900-$55,415.83.
Day-Ahead and Tomorrow
Currently, BTC is trading at $54,834.67. The price has increased from the day’s opening price of $53,205.05. Thus, the market seems to be uptick.
The MACD and signal lines are negative. Thus, the overall market momentum is bearish. However, a bullish crossover by the MACD line over the signal line has occurred. Moreover, both the lines are close to the zero line and may change signs soon. Hence, a trend reversal may be on the horizon. Hence, the price may start rising after an intermittent price pullback.
The RSI indicator is currently at 44%. It faced rejection at 48% and fell to the current level. Thus, selling pressures are high. The RSI indicator is giving further credence to the price pullback indicated by the MACD oscillator.
The OBV indicator is upward sloping. Hence, buying volumes are higher than selling volumes. High demand for crypto will push its price upwards.
In a nutshell, when we look at all the oscillators together, we can say that the price is likely to increase after a temporary price pullback as a part of the market price discovery process.
BTC Technical Analysis
Currently, the price is above the first Fibonacci pivot resistance level of $54,799.66. It may fall up to the Fibonacci pivot point of $53,838.61. Thereafter, we have to wait and watch to see if the price starts rising or falls further.
The price is soon likely to test and fall below the 23.6% FIB retracement level of $54,822.09. In a few hours, if the price retests and breaks out of this level, then the price uptrend is probably strong. In that case, we can expect the bullish trend to continue tomorrow as well.