BTC’s price manages to hold the gains on Tuesday following an intense sell-off in the previous session. In fact, BTC is extending its retracement that began on March 28 as the bulls lack the conviction to carry forward the gains beyond $48,124.
BTC’s price reclaims the $40,000 mark with decent gains on Tuesday.
However, the price is not out of the woods yet, as it is far from oversold territory.
A daily candlestick below $39,000 will again put the BTC price on the test once again.
Further, the BTC sellers sliced through the psychological $45,000 level on April 6 and resulting in a 13% correction in BTC price since then.
In the past two weeks, BTC’s price witnessed a steep pullback that pushed it to $39,000. However, despite the intense selling momentum, the investors seek a dip-buying opportunity that brings the major cryptocurrency back above $40,000.
BTC price remains sidelined
From a technical perspective, the BTC price seems exhausted after the recent pullback. Still to move back to the key upside zone at $45,000 and $50,000 looks challenging for the Bitcoin price.
A daily candlestick below the key support area of $39,000 will trigger another round of selling in the pioneer cryptocurrency. The price trades inside a ‘Parallel’ channel. Now, if the price breaks the lower trend line of the channel sellers could enjoy a move toward the horizontal support zone at $38,128.85.
An extended sell-off could bring $36,000 into play.
While things look pessimistic for the BTC price, a spike in the buy order could push the price to revisit the previous session’s high of $42,424.14 followed by the $44,000 key level above the 50-day EMA.
The daily relative strength index (RSI) is just a tad above the oversold zone giving bulls hope.
On the daily chart, the moving average convergence divergence fell below the mid-line with bearish momentum.
BTC price was trading at $40,227.06 at press time, up 1.23% 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.
Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects. Exploring on-chain analysis to track the market.