Bitcoin may rally in direction of the $22k resistance degree over the approaching hours because the broader market slowly recovers.
The cryptocurrency market is slowly recovering immediately, following a sluggish begin to the week. After shedding greater than 3% of its worth on Monday, the crypto market is up by almost 2% within the final 24 hours.
The optimistic efficiency has pushed the entire cryptocurrency market cap above the $1 trillion mark once more.
Bitcoin almost dropped under the $21k assist degree on Monday however has maintained its worth above that threshold. Bitcoin is now buying and selling round $21,400 per coin and will make a transfer for the $22k resistance degree over the subsequent few hours if the market momentum is maintained.
Bitcoin reaching the $25k psychological degree within the close to time period would rely on the sentiment within the broader cryptocurrency market.
Key ranges to observe
The BTC/USD 4-hour chart stays bearish regardless of Bitcoin including 1% to its worth within the final 24 hours. The technical indicators present that Bitcoin’s efficiency is bettering, however it’s but to be bullish.
The MACD line dropped into the damaging zone on August 16 and has remained there. Thus, indicating that the bearish pattern for Bitcoin just isn’t but over.
The 14-day relative power index of 44 reveals that Bitcoin is not within the oversold area. Nevertheless, it’s nonetheless a way from getting into the overbought zone of the chart.
At press time, BTC is buying and selling at $21,360 per coin. If the market restoration continues, BTC may surpass the $22,724 resistance degree over the subsequent few hours or days.
Nevertheless, Bitcoin may discover it onerous to succeed in the second main resistance degree at $23,960 within the close to time period except there’s a bullish motion.
The bears are nonetheless lurking and will regain management of the market. Doing so would see BTC fall under the $21k assist degree for the second time in lower than every week.
Bitcoin has maintained its worth above $20k and may comfortably achieve this over the subsequent few days.