Bitcoin (BTC) held support around $56,000 over the weekend and was trading around $58,700 at the time of writing. The next resistance level around $60,000 is within reach.
- The relative strength index (RSI) is now overbought on the hourly chart, although not as extreme as May 1 or April 14 which preceded price declines.
- Bitcoin is holding support at the 100-period moving average on the hourly chart. The moving average has been sloping upwards for about a week which points to an improving short-term trend.
- On the daily chart, bitcoin is also above the 50-day and 100-day moving averages and is not yet overbought. However, slowing momentum on the weekly chart suggests buyers are still taking profit on rallies.
- For now, BTC is approaching the next level of resistance around $60,000 which has triggered short-term overbought conditions over the past few months.