The overall cryptocurrency market is still optimistic and anticipates continuing its upward trajectory. Bitcoin is now trading at $24,376, opening the door for buyers after rising 6.5% over the last seven days. Although, by crypto market standards, these are modest moves. BTC has been seeking out more volatility over the past week while dealing with little intensity. Since BTC/USD was able to halt its long-term decline at the $17,588 level in May 2022, it has been in a steady uptrend. The price is currently above its daily moving average (MA 50), supporting a bullish short-term outlook. Buyers might drive the price higher, although the $25,000 level might serve as the first barrier. The Bitcoin Accumulation Trend Score has begun to dwindle during this rally, as Glassnode noted in a tweet. This comes after a nearly flawless two months of aggressive balance increases, primarily fueled by the shrimp and whale cohorts, following the LUNA collapse and again in June.
Key Levels
Resistance Levels: $30,000, $28,000, $25,000
Support Levels: $22,000, $20,000, $17,000
BTC/USD Daily ChartThe BTC/USD has been struggling to move higher for the second straight month, reaching a two-month high of $24,929 on August 11, with targets of $25,000. The BTC/USD advance is currently slowing down as it nears the $25,000 level of resistance. On the chart, the hidden bearish divergence is still present, and it may be a sign of a pullback.
On the other hand, in the event of an unexpected pullback, the price is likely to temporarily stall near the $22,000 level of support and MA 50. The low of $25,338 from May 12 could enter the picture, although this level might be broken by a close. To further confirm the current bullish trend, the BTC/USD might need to break out above the $25,000 level.
BTC/USD 4-Hour ChartThe 4-hour chart shows that BTC/USD is trading above the moderately bullish moving average (MA 50) and is about to cross upwards. The short-term relative strength index (RSI) is in a range beyond its middle lines. An ongoing bullish trend could target a break of the May lows of $25,000 to $27,000 level next.
On the flip side, the price might decline before hitting the $28,000 zone again. However, the rally above $17,000 might resume past $22,000, leading to a retest of the $25,000 level. Although any decline is unlikely to reach the main support area near $20,000 due to a short-term bearish possibility. The low from May near $25,338 is already a reliable resistance level in a shorter time frame.
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