Bitcoin Approaches Resistance Near $50K-$55K

Upside momentum is strengthening on daily and weekly charts, which suggests buyers are in control.

Aug 23, 2021 at 11:15 a.m. UTC

Updated Sep 14, 2021 at 1:43 p.m. UTC

Bitcoin (BTC) buyers were active over the weekend and defended support near the 200-day moving average at $45,000. The cryptocurrency was trading around $50,000 at press time and is will likely face resistance towards $55,000.

The short-squeeze rally has lasted for about a month as bitcoin held $30,000 support and broke out of a consolidation phase above $42,000. BTC is up about 46% over the past 30 days despite recent signs of upside exhaustion.

The relative strength index (RSI) is near overbought levels on the daily chart, which could encourage profit taking around resistance.
Pullbacks should be brief given initial support near $45,000.
Upside momentum is strengthening on daily and weekly charts, which suggests buyers are in control.

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