"Bitcoin Could Rally Northward on Potential RSI Intersection"
Bitcoin (BTC) has breached the resistance level of $38,008, though not decisively, currently trading at $38,139 at the time of writing. There is still potential for an extension towards the higher range at $38,414 or, in the case of a strong upward movement, pushing towards $40,000. The Relative Strength Index (RSI) is moving upward and is on the verge of crossing above the signal line (yellow band). Historically, each time this intersection occurs, BTC has responded with a bold upward move, interpreting it as a buying signal.
Similarly, the Awesome Oscillator (AO) indicator remains in positive territory, indicating that the bullish camp maintains control despite strong downward price pressure. On the flip side, increasing selling pressure could lead Bitcoin to drop below the support level of $38,008 or, worse, test the support level of $35,487. In a more severe scenario, a downturn could cause BTC to lose the confluence support between the horizontal line and the 50-day Simple Moving Average (SMA) at $33,912. Breaking and closing below this level would invalidate the bullish argument, setting the stage for a further southward extension towards the psychological level of $30,000.
Similarly, the Awesome Oscillator (AO) indicator remains in positive territory, indicating that the bullish camp maintains control despite strong downward price pressure. On the flip side, increasing selling pressure could lead Bitcoin to drop below the support level of $38,008 or, worse, test the support level of $35,487. In a more severe scenario, a downturn could cause BTC to lose the confluence support between the horizontal line and the 50-day Simple Moving Average (SMA) at $33,912. Breaking and closing below this level would invalidate the bullish argument, setting the stage for a further southward extension towards the psychological level of $30,000.
