Bitcoin has over the weekend session brushed shoulders with $60,000. The uptrend occurred alongside crypto assets like Ethereum, which stepped above $4,000 for the first time in history. At the time of writing, the flagship cryptocurrency trades at $59,500 following an ongoing upswing from the support at $56,000.
Last week we discussed the Relative Strength Index (RSI) having a bearish divergence. Note that the bearish impulse comes into the picture when the RSI breaks away from the asset’s price. In other words, as the price increases, the RSI drops appreciably.
The technical formation implies that the uptrend is losing momentum amid reducing volume. A breakdown tends to follow reminiscent of Bitcoin’s drop to $56,000. At the time of writing, the RSI has broken the negative divergence, confirming that the trend has turned bullish.
A continued movement into the overbought region will prove to investors that the uptrend is intact, and therefore, it is probable to speculate BTC’s rise to $65,000.
BTC/USD four-hour chart
Meanwhile, Bitcoin must make one last break above $60,000 to affirm the breakout. On the brighter side, the Moving Average Convergence Divergence (MACD) shows that buyers have the upper hand.
The trend will keep leaning on the bullish side as long as the MACD line (blue) crosses and maintains a position above the signal line. On the downside, support has been established at $58,000, the confluence made by the 50 Simple Moving Average (SMA) and the 100 SMA as well as $56,000.
Bitcoin intraday levels
Spot rate: $59,450
Support: $58,000, $56,000 and $53,000
Resistance: $60,000 and $62,000
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.