The overall cryptocurrency markets cling to positivity on Monday after a modest rise on Friday. Early in the session Bitcoin retreated further to find support at the $45,129 intraday low. So far sentiments remain positive as price action still holds above the demand zone of $45,000 which is a sign of strong buying interest. Per CoinMarketCap data BTC lost nearly 3.50 percent in the last 7 days, reaching the level of $44,232. Nevertheless, Bitcoin (BTC) maintains a higher ground above the key level of $45,000 for the third day in a row. At the time of analysis, the BTC/USD bulls eye a break of the 48k region and might signal the start of a broader trend in the direction of the breakout. According to the most current Glassnode data, traders and investors are actively removing a large amount of Bitcoin from exchanges. As per data revealed, Bitcoin exchange outflow volume recently hit a rate of 96.2k $BTC per month. Bitcoin whales have been accumulating fresh coins in their wallets by purchasing them on centralized exchanges and transferring them to noncustodial wallets.
Key Levels
Resistance Levels: $50,000, $48,500, $47,000
Support Levels: $45,000, $43,000, $40,000
BTC/USD Daily ChartAs seen on the daily chart, BTC/USD is trapped beneath the moving average (MA 200). Recent attempts to break through this psychological barrier have been unsuccessful. When off the route, the positive side has the potential to build speed and reach $50,000 which would be the next resistance level.
On the downside, the first critical barrier falls to $45,000, which is a significant decrease. With the daily MA 50 placed beneath this boundary, the layers of support protect the price from a sharper drop to $40,000. The relative strength index (RSI) indicates the bulls have been in control since mid-March 2022.
BTC/USD 4-Hour ChartOn the 4-hour chart, Bitcoin appears to be setting itself for a large directional leap as it attempts to break the 4-hour MA 50 limitation within its price range. Bulls in the medium to short term have resumed their assault on the $46,500 – $47,000 barrier mark this week. The 4-hour chart has turned bullish, except for a few bearish candlesticks.
The technical analysis shows that the BTC/USD pair might challenge the $47,000 resistance area, with a possible breach above the $48,000 level in the near term. While the BTC/USD pair remains bullish trading over $45,000 support, below here the pair remains vulnerable if breached. Sellers might test the support levels of $43,000 and $40,000.
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