Bitcoin Price Analysis: New protections that can prevent prices from falling sharply
Bitcoin traded above $ 51,000 yesterday and at one point reached close to $ 52,000. Buyers will now need to keep the price above $ 49,500 so that they can expect the price to continue to rise in the short term.
To Report Bitcoin News Two days ago, Bitcoin expanded its price recovery trend by crossing the $ 50,000 resistance, and buyers were able to follow this trend by overcoming the resistance of $ 50,500 and $ 51,200.
However, buyers failed to overcome the $ 52,000 resistance, and after forming a price peak near $ 51,955, the market is now correcting yesterday’s jump. The correction started with the price falling below $ 51,000 and supporting the 23.6% Fibonacci level. It is worth mentioning that in this analysis, Fibonacci levels are based on the upward movement of the price from $ 47,210 to the peak of $ 51,955.
The price correction was followed by the breaking of the support line of the uptrend inside the chart near the level of $ 50,800. But now it is trading above $ 50,000 and the 100-hour moving average (SMA).
If the market continues to rise, the nearest resistance is at the level of $ 51,000 and then $ 51,800 will act as the key resistance to the price. Crossing this level can provide the conditions for the price upward trend to continue. The next key resistance is in the range of $ 52,000, and crossing it could be accompanied by a further price jump to $ 53,500.
On the other hand, if the price can not overcome the resistance of $ 51,800, the downward trend may continue. In this case, the closest support will be at the level of $ 50,000.
The first key support was formed at around $ 49,500 and a simple 100-hour moving average. It is worth mentioning that this key support with the level of 50% Fibonacci correction is located in almost one area. Breaking the $ 49,500 support may increase sales pressure, in which case the sellers’ next target will probably be $ 48,000.
The MACD is slowly entering the downtrend and the Relative Strength Index (RSI) is below 50.
As mentioned, $ 50,000 and $ 49,500 are key Bitcoin supports, and $ 51,800, $ 52,000 and $ 53,500 also serve as price resistance.