BTCUSD (Bitcoin) pivoted nicely near the 41,474 support region on Tuesday, signaling that the rebound off the 32,950 low and, more recently, the bullish trendline breakout has further to go.
The base overlaps with the 23.6% Fibonacci retracement of the 68,999 – 32,950 downtrend and the 50-day simple moving average (SMA). Hence, any further extensions above this floor may keep bullish momentum alive, especially as the MACD is stepping higher in the positive region and its red signal line. The RSI is reflecting an improving bias as well after rejecting any declines below its 50 neutral mark.
The 45,000 mark is currently on target, while within a breathing distance, the 38.2% Fibonacci of 46,725 could also cap the rally, preventing any acceleration towards the key resistance formed between the 200-day SMA and the 50% Fibonacci of 50,968. If the bulls manage to knock down that wall, the spotlight will immediately turn to the 54,000 – 55,212 region.
Alternatively, a pullback below 41,474, where the 20- and 50-day SMAs are set to post a bullish cross, could immediately halt around the 39,275 restrictive region. Lower, traders will pay special attention to the 36,000 – 32,950 zone and the broken descending trendline, which could ideally switch from resistance to support within the same region. Should selling forces intensify, the door will open for the 30,000 level.
Summarizing, buyers are expected to add more upside pressure to BTCUSD in the short term, likely bringing the 45,000 – 46,725 band under examination.
