On cryptocurrency price charts the movements cheer up bulls today. The positive sentiment returns to the market. Since yesterday, the cryptocurrency market has been in the green zone. All cryptocurrencies are showing growth.
Today the Asian and European business activity indicators rose markedly after prolonged weakening. Capital is returning to risky assets, analysts do not exclude that American investors will support the positive trend today.
Bitcoin price was able to show a recovery. The BTC/USD pair managed to rise above the levels of 47000 and 48000 and break out of the downtrend channel on the 4-hour chart. At the time of publication, the BTC/USD pair is trading at around 48800. However, for a full recovery, the price of Bitcoin must rise above $53000. Therefore, it is still too early to say anything about whether today’s rise in prices represents a trend reversal.
Technical analysis says that BTC/USD has formed a double bottom around 46000 on the 4-hour chart. This pattern could be the start of a new rally in Bitcoin price.
The recent rally has allowed the BTC/USD pair to rise above the MA 100. The BTC/USD pair also managed to break through several resistance levels of 48000 and 48500. It is now facing immediate resistance around 49200. A breakout of this level will allow the BTC/USD pair to come close to the $50000 mark.
If the bulls lost strength and the bears seize the initiative, they will try to return the BTC/USD pair to the descending channel. If they succeed, we will see the movement of the BTC/USD pair towards the support area of 46200.