Bitcoin (BTC) tentatively recovered $ 47,000 on Wednesday in a move that analysts say should pave the way for $ 50,000.
Bitcoin bulls escape further test of lows
Data from UKTN Markets Pro and TradingView showed that BTC / USD was holding the $ 47,000 mark on Wednesday, which is crucial for tipping into a bullish continuation.
The level had seen fierce whale defense the day before, but the bulls eventually gained the upper hand, lifting Bitcoin from a multi-day descending channel.
Even a dip towards $ 46,000 did not materialize, reinforcing the more bullish case of short-term BTC price action.
There is the 4HR candle near for #BTC
If a decline occurs to ~ $ 46,100 from this point, it will likely be an opportunity to retest to confirm a breakout of $ BTCthe current market structure#Crypto #Bitcoins https://t.co/H8M59ihgLm pic.twitter.com/gveXn8v3Oh
– Rekt Capital (@rektcapital) September 14, 2021
The relative strength follows a golden crossover event on BTC / USD amid record currency balances and implied supply squeeze.
This was all the more evident in the daily chart which, as a popular trader Pentoshi Noted, produced a “engulfing bullish” candle that wiped out six days of side action.
“Back above 200DMA, now facing some resistance at Monday high / September monthly open ($ 47,000 to $ 47,150),” analyst William Clemente added.
“If those levels are indeed broken, it could see a fairly rapid move up to the August high of $ 50.5,000.”
Support echoes forecast for minimum monthly closure
A review of buy and sell levels on Binance’s main exchange confirmed that resistance now stands at just over $ 49,000, with clear support several thousand dollars below the spot price.
Support matches the existing forecast for the minimum monthly close in September of $ 43,000. October, on the other hand, demands a minimum monthly close of $ 63,000, close to a new all-time high for Bitcoin.
Related: Bitcoin Techniques: Incoming ‘Golden Cross’ Shows Potential Bottom For BTC Price