Bitcoin (BTC/USD) – Daily Chart
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Investing.com – After actively testing the $40,000 support since the start of the week, Bitcoin has been showing a significant rebound since yesterday afternoon, with the cryptocurrency back above $41,000, down to $41,300 at trading time. writing this article.
Between yesterday’s low at $39,670 and last night’s high at $41,540, the market rebounded by +4.8%.
The rise in US equities, including the which closed up 1.99%, helped Bitcoin in its rebound, but technical factors also help explain the move.
Bitcoin rises in its daily channel, target $50,000
Indeed, as we pointed out on Monday, Bitcoin’s recent decline has brought it back into contact with the lower limit of an ascending channel visible in daily data since the start of the year. Thus, the rebound of BTC/USD in recent days corresponds to a rebound from the lower limit of this channel.
A continuation of the rise within this channel in view of the upper limit suggests an objective towards $50,000. However, before that, several key hurdles will need to be overcome, starting with the 100-day moving average, currently at $41,360, which has for now put an end to the rebound shown by BTC since yesterday.
The $45,000 area, an important chart resistance, will also be an obstacle to consider if Bitcoin’s rally continues. Finally, the last visible hurdle in daily data before $50k will be the 200-day moving average, currently around $48,180.
What impact of the ECB meeting on BTC/USD?
Finally, note regarding potentially influential events on Bitcoin today that on rates at 1:45 p.m., before a press conference by Christine Lagarde at 2:30 p.m.
A more hawkish than expected central bank stance could weigh on overall risk appetite, which would negatively affect risky assets, including Bitcoin and other cryptocurrencies.