The OG crypto’s upswing may be running out of steam around key technical resistance levels!
Think BTC/USD is due for a bearish turn?
We’re taking our cues from the daily chart:
Bitcoin (BTC/USD): Daily
Bitcoin (BTC/USD) Daily Chart by TradingView
August has been a pretty good month for bitcoin so far, as BTC/USD jumped from the $50,000 mark to trade closer to the $60,000 levels.
Of course, it may have helped BTC/USD that an anti-dollar sentiment took over the markets in anticipation of a Fed rate cut in September.
How high can BTC/USD fly with its momentum?
Eh. Probably not much farther.
For one thing, increasing U.S. stock prices may weigh on bitcoin demand and limit BTC/USD’s gains.
BTC/USD is also having trouble busting through the $60,000 – $62,000 levels, which is right around where the daily chart’s 100 and 200 SMAs and Pivot Point levels are. More importantly, bitcoin’s current levels are not far from a descending channel resistance that’s been around since March.
Watch for bearish candlesticks and sustained trading below $62,000, which could draw in sellers and drag BTC/USD to the $57,000 previous support or the mid-channel area near the S1 ($55,436) Pivot Point line.
But if BTC/USD manages to stay above $60,000 and regain fresh bullish momentum, then the pair could retest the $64,000 resistance. Bitcoin bulls could make a play for the $68,000 previous highs and inspire a bullish breakout that may take BTC/USD to the $70,000 mark.
What do you think? Can BTC/USD sustain its bullish momentum this month?