The bitcoin price on Friday broke above the 100-hour moving average line to trade at about $21,265. The BTC/USD bottomed below $19,000 earlier in the week before making its latest surge.
Bitcoin still appears to be trading within an ascending channel formation in the 60-min chart. As result, the price of the pioneer cryptocurrency has rallied to trade deep into the overbought conditions of the 14-hour RSI.
Bitcoin Price Fundamentals Overview
From a fundamental perspective, the bitcoin price is trading at the back of a relatively busy period in the global markets. This week, both the European Central Bank and the Bank of Canada raised the base interest rate by 75 basis points. This indicates a relative increase in market optimism as central banks move to curb rising inflation. The pioneer cryptocurrency is also benefitting after Bitcoin opponent Schiff sold his bank assets after agreeing to accept bitcoin as payment.
The BTC/USD’s huge rally on Friday also seems to be driven by the latest US data, which saw the ISM Services PMIs and the initial jobless claims earlier in the week outperform expectations. Thus the market seems to be leaning towards risk=on trading, away from the more conservative risk-off trading.
Bitcoin Price Technical Analysis (the 60-min Chart)
Technically, the bitcoin price seems to be trading within an ascending channel formation in the 60-min chart. This indicates a significant short-term bullish bias in the market sentiment.
Therefore, the bulls will be looking to stretch the current streak of gains toward $21,573 or higher to $21,883. On the other hand, the bears will be targeting profits at about $21,064 or lower to $20,732.
Bitcoin Price Technical Analysis (the Daily Chart)
In the daily chart, the BTC/USD appears to be trading within a descending channel formation. This indicates a significant long-term bearish bias in the market sentiment.
Therefore, the bears will be looking to extend the current run of declines toward $19,650 or lower to $17,538. On the other hand, the bulls will be targeting long-term profits at about $22,787 or higher at $25,220.