Bitcoin Stabilizes Near Support; Resistance Around $56K-$58K
Bitcoin (BTC) has fully recovered from Thursday’s price drop of near 5%.
The cryptocurrency was trading around $54,000 at the time of writing after holding support around $52,000. The short-term trend is improving, although there is strong resistance around $56,000 and $58,000 that could limit upside into the weekend.
- The relative strength index (RSI) on the hourly chart is not yet overbought which could keep buyers active over the short-term.
- Bitcoin will need to show a decisive break above $56,000 to continue the long-term uptrend. So far, oversold signals from the April 25 low around $47,000 was not enough to push BTC above the 50-day moving average.
- BTC is down about 7% month-to-date and is on track for its worst month since January.