Bitcoin (BTC/USD) – Daily Chart
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Investing.com – The weekend could prove pivotal for the , which is at a crossroads from a technical standpoint.
Recall that Bitcoin was on the rise yesterday morning, managing to climb back above $41,000 after testing below $40,000 the day before, but BTC/USD finally started reversing its gains yesterday afternoon, pointing again below $40,000 with a trough at $39,600 around 9 p.m. last night, and hesitating around $40,000 this Friday morning.
However, technical analysis reveals contradictory indices, with clear bearish signals, such as the multiple tests of the $40k support in recent days, and the breakout below Monday’s 100-day MA, knowing that this 100-day MA has then served as resistance on Wednesday and Thursday.
On the other hand, the recent drop in Bitcoin has brought the cryptocurrency back into contact with the lower limit of an ascending channel visible in daily data since the beginning of the year. Thus, a rebound from current prices is not excluded, especially since the lower limit of this channel is currently confused with the psychological support of $40,000.
Be careful, because this also means that a sharp break below $40,000 would change Bitcoin’s bottom chart profile, and would be an important negative signal.
If a rebound takes shape, the first major hurdle in Bitcoin’s upside path will be the 100-day MA, currently at around $41,300, ahead of the $45,000 zone. Higher up, the 2022 yearly high and the 200-day moving average, both just above $48,000 form the last resistance before the major psychological threshold of $50,000.