- BTC/USD failed to develop a sustainable recovery after a move above $5,500.
- The intraday RSI implies that we are in for a period of range-bound trading.
Bitcoin’s recovery has stalled after a move above $5,500 as the market is still full of uncertainty. At the time of writing, BTC/USD is changing hands at $5,600, having gained over 6% on a day-to-day basis. Bitcoin’s market share has improved to 64.5%.
BTC/USD: Technical picture
On the intraday charts, Bitcoin’s recovery has been stopped by the resistance of $5,700 reinforced by SMA200 1-hour. A sustainable move above this handle is needed for the upside to gain traction and take the price towards the critical psychological barrier $6,000. The last time BTC/USD traded above $6,000 on March 12, before the major collapse that wiped billions of dollars from the market. It means that Bitcoin bulls may have a hard time breaking above this level.
On the downside, the initial support is created by SMA50 1-hour on approach to $5,350. If it is broken, the sell-off may continue towards the next barrier at $5,250 (SMA100 1-hour), which is followed by psychological $5,000. Considering that the intraday RSI is flat, staying clos to the overbought level, a period of consolidation around the current levels may be expected.
BTC/USD 1-hour chart
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