Key Levels for Bitcoin Return to Bullish Dominance

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In the previous Bitcoin technical analysis, we predicted that the digital gold might pull back from April’s low, the $59,500 mark. That forecast came into play, and as of writing, the BTCUSD price has soared to $63,358, a level that coincides with 38.2% Fibonacci resistance and the descending trendline as depicted in the 4-hour chart below. It is noteworthy that the $63,358 barrier is backed up by the Ichimoku cloud as well.

Key Levels for Bitcoin Return to Bullish Dominance

Key Levels for Bitcoin Return to Bullish Dominance | 4-Hour Chart

As for technical indicators, the RSI and the Awesome oscillator are bullish, and the standard deviation indicator value is 2,076, which indicates that volatility is high and the market is trending.

Key Levels for Bitcoin Return to Bullish Dominance

Despite the technical indicator promising that the bullish trend will resume, we have a candlestick signal that contradicts the technical tool. As highlighted, the BTCUSD 4-hour chart formed a doji candlestick, which forecasts the current uptick momentum might ease or reverse.

From a technical standpoint, for the bull market to resume, the Bitcoin price must pass the $63,358 barrier and stabilize itself above the 38.2% Fibonacci level. If this scenario comes into play, the bullish wave from $56,437 might extend to the March 23rd high, the $67,241 mark.

The Bearish scenario

Key Levels for Bitcoin Return to Bullish Dominance

Key Levels for Bitcoin Return to Bullish Dominance | Daily Market

Conversely, a failure to overcome the $63,358 barrier will likely result in the Bitcoin price dipping. In this case, the initial target will likely be the 23.6% Fibonacci support, the $60,330. This level is strong support because the market bounced from this threshold twice in March, as shown in the daily chart above.

  • 4 May 2024