BTC Price Remains Pressured Below 50-day EMA; Are You Buying?

BTC’s price shows signs of consolidating after two days of consecutive gains. The BTC is showing consolidating in the range of $39,000- $42,000 with a positive biasness. On the broader time frame, the technical set-up indicates infringement of the upper side to reach the higher levels in the short term.

• BTC price trades in a very limited price action still hold near $42,000.
• On the daily chart, the price forms higher highs and lows formation since January 23.
• However, the downside risk remains intact as momentum oscillators remain neutral.

BTC price touched the highs of $42,195.40 on Wednesday, however, retraced sharply as the trading extends in the U.S session.

An acceptance above the 50-day EMA (Exponential Moving Average) could be considered a key level triggering an upside breakout in BTC. The first upside target could be found at the April 6 highs at $45,548.77.

This also coincides with the break of another important moving average of 200-day EMA.

On the flip side, a fall below the session’s low would invalidate the bullish hypothesis in the asset. In that case, the price could drop toward the horizontal support zone at $39,000. Further, a break below the lower consolidation range would prompt the sellers to take out the lows of March 7 at $37,169.52.

As of writing, BTC/USD is trading at $41,369.78, down 0.33% for the day. The pioneer cryptocurrency is holding a 24-hour trading volume of $26,120,671,166 as updated by the CoinMarketCap.

Technical indicators:

OBV: The On-balance volume continues to hold near the overbought zone since March 29. The price has retraced since then but the volumes stand strong indicating the underlying bullish sentiment.

MACD: The moving average convergence divergence remains in the positive zone advocates for an upside outlook.

Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects. Exploring on-chain analysis to track the market.