May 18, 2022

Bitcoin Retests $50K Resistance, But Can The Bulls Hold It?

3 min read

Bitcoin has actually again reached retest $50,000. This follows a previous not successful attempt by BTC to settle above this rate. The recent market run-up has now seen the possession attempting to once again evaluate this point. As of the time of this writing, the rate of bitcoin still sits above $50,000. A near $50,400 peak was seen with this recent rally at the early hours of the morning. However correcting downwards as the marketplace awakens for another trading day.

Holding the $50,000 point is still a hard-fought battle at this point. Numerous dips at different points of the morning have actually put the rate listed below this resistance point. Not in any way revealing dominance on the part of the bears. But regular adequate to reveal bulls are having a problem breaking this resistance. With the cost trading south of $50K, a number of likely scenarios develop existing indicators.

Related Reading|Bitcoin Expects to Reach $65,000 Next Month, Fractal Analyst Claims

Holding Strong Against The Tide

Bitcoin’s projection for the long-term looks favorable regardless of current struggles. A most likely scenario puts the property on track back down to $44K. However with a favorable outlook for BTC following this down trend. The possession has actually kept a trajectory from $32K. Showing that it is not all set to give in to the bears just yet.

Associated Reading|Why Bitcoin’s $50K Break Positions It For New All-Time High

The present bullish trajectory puts bitcoin no higher than $52K if it does handle to hold above $50K. Although a downward correction following this price point is most likely. Bitcoin keeps trading above the 100-day easy moving average. So bulls preserve a much more powerful hold on the price at this point.

The rally is not close to being over. However history will have it that September has actually never ever been the kindest month when it pertains to bitcoin. It normally takes a beat down this time of year in a booming market. And 2021 may not be an exception.

The Other Side Of The Bitcoin

Even with build-up patterns recommending hold sentiments, the cost has not really experienced much of a push. Likely due to investors taking some revenue in case of a slump in the price. This recommends an existing bull trap is most likely the case at this point. In which case, the cost is most likely to drop to $34K than it is to break $52K.

Chart showing BTC analysis

 BTC downtrend is likely in September|Source: TradingView.com While a downtrend is expected in September, the bottom of this dip will be more of a liftoff point in the coming months. Analysis puts BTC at $100K by end of the year. And a dip plays into that analysis.If bitcoin successfully closes the everyday trade candle light above $51K, this would push the rate into the mid-$51K. Although this is not likely.

At the time of writing, BTC is still carefully maintaining its position a fair bit above $50K.

Bitcoin price chart from TradingView.com

 BTC price trading above $ 50K|Source: BTCUSD on TradingView.com
Featured image from Crypto Economy, chart from TradingView.com