Bitcoin (BTC) is under pressure after approaching resistance near $45,000. Momentum indicators are improving, which could keep buyers active over the short-term.Read MoreFeedzy
Bitcoin (BTC) sellers were active after buyers failed to sustain a break above $45,0000 this week. The cryptocurrency is down 4% over the past 24 hours, although initial support at $40,000 could stabilize the pullback.
The relative strength index (RSI) on the daily chart approached oversold territory on Wednesday, which preceded the recent downturn in price. On the weekly chart, however, the RSI is rising from oversold levels similar to what occurred in March 2020, which could keep buyers active over the short term.
Momentum indicators improved on the weekly chart after BTC rose 4% over the past seven days. That suggests a neutral outlook so long as support holds above $35,000-$40,000 over the weekend.
Still, the monthly chart appears bearish similar to July 2018, which was the middle of a crypto bear market.
DISCLOSURE
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
