Foundations Shake As Bitcoin Retests $5000 Key Level…

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BTC Tests Key Resistance

Ever since our previous BTC analysis, Bitcoin has been hovering on top the $5000 notable support zone, without success of breaching the next key resistance of $5200.

Yesterday was Monday. By examining the daily chart, we can see that Mondays usually are likely to bring high volatility, since many traders are returning from their weekend.

This time we saw a sharp move down, breaking the $5000 but remarkably quickly correcting up (after touching $4940 on Bitstamp). What might be learned is that the predicament is still particularly fragile. But notwithstanding, we continue to see the bulls rather strong on top the $5000 support. The glide below $5000 was promptly filled up with demand. The $5000 war is still happening at the writing of this report.

Total Market Cap: $172.9 Billion

Bitcoin Market Cap: $90 Billion

BTC Dominance: 52.1%

Looking at the 1-day & 4-hour charts

— Support/Resistance:

The pivotal level here is the $5000 support area, which up until now holds up quite nicely. Bitcoin accomplishes ten days of holding up above the $5000 mark. However, the ballgame might change at any time: In case of breaking down, further support stands at ~$ 4930 (the 4-hour MA-100 marked in white), just before reaching the $4800 zone.

Below lie the $4700 and the 200-days moving average line (1-day chart) which is right now around $4500. Looking into the much bigger picture, provided that Bitcoin preserves the $4200 area, the chances that we have seen the bottom of the current bear market are particularly high.

From above, the closest major resistance lies at $5200. Further resistance area level lies at $5200, before hitting the $5300– $5350 area. The subsequent significant resistance lies at the past week’s high around $5500 before getting to the 2018 legendary support turned resistance line at $5700.

— Daily chart’s RSI:
Stochastic RSI oscillator of both the daily and the 4-hour’s chart is at the oversold area and about to make a cross over above, which may cause a positive movement. Will the buyers return soon?

— The daily trading volume:
The trading volume of yesterday was not significant, this could be said in favor of the bulls.

— BitFinex open short positions:
the open short positions, are consistent for almost a week around 18.7 K BTC of open positions.

BTC/USD BitStamp 4-Hour Chart

BTC/USD BitStamp 1-Day Chart

The post Floor Starting To Shake As Bitcoin Retests $5000 Key Level – BTC Price Analysis April 16 appeared first on CryptoPotato.

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