Bitcoin (BTC) rose during the week of August 30 to September 5, starting the week at $ 48,767 and reaching a close of $ 51,900.
Although the technical indicators provide mixed signals, BTC is still well above the horizontal resistance area of $ 51,200.
Long-term BTC outlook
BTC opened on August 30 at a price of $ 48,767. It is rising steadily throughout the week, creating a bullish candle and reaching a close of $ 51,900.
Despite the bullish move, the weekly chart is not bullish yet.
BTC has yet to regain the ascending support line from which it broke. Previously, the line was in effect since March 2020. BTC is still validating the line as resistance (red icon). In addition, the resistance is reinforced by the super trend line.
However, both the RSI and MACD provide a bullish reading. first has moved above line 50, while the second signal line is positive. On top of that, the histogram gave a bullish reversal signal.
Current resistance
Technical indicators on the daily time frame for BTC provide a mixed perspective.
Since August 13, both the RSI and MACD have generated significant bearish divergences. RSI has also reached its bearish divergence line.
However, the MACD has finally generated a higher momentum bar. Also, the superstrend is bullish.
While the technical indicators are mixed, the price action is bullish. First, the September 3 close was the highest since May and the September 5 close was even higher. latter caused BTC to finally move above the $ 51,200 resistance area, which is the 0.618 Fibonacci retracement resistance level and a horizontal resistance area. next closest resistance area is at $ 51,800.
Read also Bitcoin and Ethereum consolidate, ADA recovers
It is worth noting that the breakout emerged with negligible volume (red icon).
Future movement
Similar to the weekly time frame, the six-hour chart shows that BTC has broken out of an ascending support line.
It is currently approaching the line, potentially validating it as resistance. Also, similar to the daily RSI, the MACD has reached its bearish divergence line.
Furthermore, the ascending support line somehow coincides with the horizontal resistance area of $ 51,200, and is slightly above it.
So, although the breakout is not yet confirmed, it looks like BTC will rise, at least in the short term.
For BeInCrypto’s previous Bitcoin (BTC) analysis, click here.
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