Categories: Bitcoin Latest News

Bitcoin Rises Above $42K; Resistance at $46K-$50K

Bitcoin (BTC) momentum signals are improving, which could keep buyers active toward the $46K-$50K resistance zone. For now, pullbacks appear to be limited with support nearby at $40K.Read MoreFeedzy

Bitcoin (BTC) is holding support above $40,000 as short-term momentum signals improve. For now, pullbacks appear to be limited, which means buyers could remain active toward the $46,000-$50,000 resistance zone.

The cryptocurrency is up 4% over the past 24 hours and is attempting to establish a higher price range on the charts.

A decisive breakout above $46,000 is needed to shift the four-month-long downtrend. Typically, price rallies stall after retracing 50% of the prior down move, similar to what occurred in September 2021 around the $50,000 price level.

The relative strength index (RSI) on the daily chart remains in bullish territory (above 50), indicating renewed buying activity. On the weekly chart, momentum indicators are on the verge of turning positive for the first time since August, which preceded a strong price rally.

Still, a bearish set-up remains on the monthly chart, which means upside could be limited.

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.