With Bitcoin now trading above both of its moving averages, the digital asset might be seducing the bulls into coming back into the market. Presently, the digital asset is exchanging hands at $56,310, after a powered surge saw it claim the $56,500 price mark. With that, the coin is gathering momentum to move to the region where it first traded some weeks back.
If the bulls add their efforts in the market, they could further help the digital asset regain this position on time. As it stands now, the asset is still trying to trade clear of the moving averages after spending most of the weeks between them.
Bitcoin support not far from its present price
The buyers and sellers would determine the movement of the digital asset. These two sets of people are the ones that would determine if the asset makes a bearish run or a bullish run in the coming days. If the asset eventually makes it close to the $56,800 price mark, it would be looking to breach past the $57,000 resistance level.
If the asset successfully breaks above this price mark, it would need the bulls’ intervention to power it close to the $58,000. If the market appears to have a very strong bullish momentum, it might respond by moving close to the $62,000 level before moving to the $64,000 price level. The last level that analysts have pointed out is the $66,000 level.
However, if the bears gain entrance before the bulls, the market could see a slight decline that would place it close to the $55,000 price region. If this level is not strong enough to act as a support, the asset is expected to fall further down to $50,000 before going on to trigger $48,000 and $46,000. Moreso, the coin still has a higher chance of staying above due to the trade above the 55 level of the RSI that it is currently maintaining.
Bitcoin shows bullish on-chain signs
In the last few hours of the day, Bitcoin has been showing bullish signs: a sign that has been in the market since it first appeared on March 25. With that, the intraday trading signs of the asset are now pointing to a bullish trend, judging by its recent run to touch above $56,500.
Also, the price mark is now regarded as a strong resistance level of the digital asset. If the coin maintains this momentum, it could go all the way to trigger a move above $60,000. Looking at it from the downside, traders would be glad that the latest support of the digital asset is located around $55,500.
If the bulls fail to defend the price at this level and it falls, the asset could first stay at its $55,300 support level before going on to touch $55,000. Overall, the asset is set for a bullish run provided everything is in place.