BTC price extends the previous session’s gains amid positive sentiments in the markets. Today the price opened higher relative to the last day’s closing session, thus forming a green candlestick. Further, the bitcoin buyers once again showed respect to the critical $37,000 level on the daily chart. As per CoinMarketCap, the overall market capitalization of the crypto space rose 1.6% to $1.8 trillion.
BTC price bided well as it found the buyer’s support for the second straight day.
As per the technical perspective, a short-term upswing in the price is on the cards.
Bitcoin reclaims the $40,000 mark amid bullish market sentiment.
BTC price set to move higher
On the daily chart, the BTC price dropped 52% from the record highs made in November. Since then BTC has been in a medium-term downward trend. In addition to that, the descending trend line from the record highs acts as a resistance barrier to the bulls. After tagging the all-time-lows in late January at $32,933.33, the BTC price managed to pierce the bearish slopping line with the swing highs of $48,000.
However, the BTC buyers lacked the conviction to carry forward the gains, as the price immediately corrected to $39,000. BTC is further pressurized as it sliced the critical 200-day EMA (Exponential Moving Average) at $44,830.
Now, the price is flirting near the crucial $40,000 mark. A rising volume along with an increase of 6% in the price suggests the bullish undercurrent. A resurgence in buying could push the price to challenge the highs of April 21 around $43,000 followed by the psychological $45,000.
On contrary, a break below the swing lows of $37,700 would neglect any bullish arguments. In that case, the sellers would be enjoying the liquidity at $35,000.
The RSI (Relative Strength Index) produces a bullish divergence since April 12 in accordance with the price.
As of press time, BTC/USD is trading at $40,140 up 1.97% for the day.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.