The bitcoin price on Friday spiked to trade above $48,000 following the latest round of the US data. The price of the pioneer cryptocurrency has now completed a bullish breakout from a gently descending channel formation.
The BTC/USD now trades several levels above the 100-hour moving average following Friday’s rally. It has since escalated into the overbought conditions of the 14-hour RSI. Therefore, a pullback could be imminent.
Bitcoin Price Fundamentals Overview
From a fundamental perspective, the BTC/USD is trading at the back of a relatively busy period in the US market. On Friday, the US ISM Manufacturing PMI for August beat the expectation of 59.6 with 61.1, rising from the previous month’s figure of 59.9. The ISM Manufacturing Prices Paid and the New Orders Index also outperformed estimates while the Manufacturing Employment Index narrowly missed 50.2 with 50.2.
On the other hand, personal spending for August beat the expected change of 0.6% with a change of 0.8% while personal income for the period missed 0.3% with a change of 0.2%. Elsewhere, the Michigan Consumer Sentiment Index for September outperformed the expectation of 71 with 72.8.
Earlier in the week, the annualised US gross domestic product for Q2 outperformed the expectation of 6.6% with a change of 6.7%, while the initial and continuing jobless claims both came in higher than expected.
Bitcoin Price Technical Analysis (the 60-min Chart)
Technically, the BTC/USD appears to have recently spiked to complete a bullish breakout from a gently descending channel formation. This indicates a significant shift in the market sentiment from bearish to bullish.
Therefore, the bulls will be looking to extend the current gains towards $49,512 or higher to $51,056. On the other hand, the bears will target potential pullback profits at around 446,513 or lower at $44,754.
Bitcoin Price Technical Analysis (the Daily Chart)
In the daily chart, the BTC/USD appears to have recently broken out of a descending channel formation after bouncing off the 100-day moving average. However, bitcoin is yet to reach the overbought conditions of the 14-day RSI.
Therefore, the bulls will be looking to extend the rebound towards $52,875 or higher to $58,605. On the other hand, the bears will look to pounce for long-term profits at around 443,436 or lower at $37,330.