Bitcoin Bulls Drive Recovery Towards $57,000 After Rebound

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The price of bitcoin on Tuesday continued to rise towards the $57,000 level following Monday’s late rebound. The pioneer cryptocurrency plunged on Monday to trade at a new 7-day low of about $54,000 before bouncing back late on.

Bitcoin is now pinned between the 100-hour and the 200-hour SMA lines in the 60-min chart. Tuesday’s continued recovery pushed the BTC/USD closer to the overbought levels of the 14-hour RSI. This could trigger a temporary pullback.

Bitcoin Price Fundamentals Overview

From a fundamental perspective, bitcoin is trading at the back of a relatively busy period in the global markets. On Tuesday, Palantir became the latest technology company to announce plans to join the crypto race. The analytics software company hinted that it may be planning to invest heavily in bitcoin. This came after it revealed in its first-quarter results that it has started to accept bitcoin payments.

The cryptocurrency market has witnessed several developments in recent times with stablecoins and non-fungible tokens markets continuing to gain attention. This has put some brakes on the upward movement of BTC/USD but the long-term outlook remains positive. Last week’s disappointing US data has pushed US equities lower this week. This has affected the dollar, which in turn has boosted the price of bitcoin.

Bitcoin Technical Analysis (the 60-min Chart)

Technically, the BTC/USD appears to have recently bounced back after bottoming at the $54,000 level. The price of bitcoin has now surged towards $57,000 in the 60-min chart. It continues to trade within a gently ascending trend formation. This indicates a short-term bullish bias in the market sentiment.

The bulls will look to extend the current recovery towards $58,042 or higher to $59,181. On the other hand, the bears will target short-term profits at around $55,862 or lower to $54,785.

Bitcoin Technical Analysis (the Daily Chart)

In the daily chart, the price of bitcoin appears to be on recovery after plunging to trade below the $48,000 level late last month. It has now surged to trade just below the 61.80% fib level on the way up. 

The bulls will be targeting long-term profits at around 76.40% and 100.00% fib levels at $59,647 and $63,950, respectively. On the other hand, the bears will look to pounce for pullbacks at around the 38.20% fib level at $53,386 or lower at $48,943.

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