Bitcoin traded at $30,000 during the time of writing. The coin has maintained its resistance at $28,000 as the bears came to rescue.
Over the last 24 hours itself, Bitcoin attempted to break its consolidation. For the consolidation to be invalidated it has to trade above the $31,000 price level.
The lateral movement might cause a case of breakout as usual. The indicators of Bitcoin on the one day chart seem to look positive. In the last 24 hours, BTC rose by 4.6% and in the last week there has been 0.8% appreciation.
Despite a positive outlook on the one day chart, there could be a possibility of price breaking on the downside. The global cryptocurrency market cap today was $1.33 Trillion with a 3.8% positive change in the last 24 hours.
Bitcoin Price Analysis: One Day Chart
Kingcoin was trading at $30,542 at press time. After trading close to its rigid support line of $28,000, the coin broke past $29,000 level.
Overhead resistance for the coin stood at $31,000 and if the bulls continue the momentum then the coin might try to trade near the $34,000.
Other resistance mark stood at $36,000 and then at $37,000. The volume of the coin was seen rising which is tied to being bullishness.
The volume bar was green at the time of writing, that also highlights a rise in buying pressure. Although, Bitcoin painted bullishness the coin, it formed a descending triangle.
A descending triangle is connected to bearish price action so it cannot be determined certainly if the coin would move on the upside.
Technical Analysis
Bitcoin flashed bullish signals on the one day chart. The Relative Strength Index recovered on the chart, the indicator moved north near the 50-line.
This reading meant that buyers came back in the market and signified increased demand indicating bullish pressure.
The Average Directional Index displays the directional trend of the coin. The ADX was parked above the 40-mark, this pointed out that the current trend was strong.
ADX however, displayed a downtick and that could signify that the present price momentum was dying down flashing a change in current price momentum.
Related Reading | TA: Bitcoin Clears $30K, Why This Could Mean Trend Change
Awesome Oscillator depicted green histograms. The indicator depicted market momentum and it showed bullishness. AO also flashed buy signals on the one day chart.
This corresponded with the Relative Strength Index as the indicator climbed near the half-line. Chaikin Money Flow determines the capital inflows and outflows.
The indicator was hovering near the half-line because capital inflows recovered at press time.
It is however uncertain if BTC will act according to the indicators as the coin also points towards a possible bearish turn in price.
Related Reading | Bitcoin (BTC) At $29,000, How Long Will The Consolidation Continue?
Source: https://www.newsbtc.com/news/bitcoin-touches-30000-is-the-coin-headed-towards-recovery/