BCGAME - Free 5BTC Daily Bonus!Bitcoin (BTC) bounced back above the $30.000 level on Tuesday after a volatile trading session. Buyers quickly jumped into action when oversold conditions appeared on intraday charts. The next resistance level is seen around $36.000, which could limit the rally further.
The world's largest cryptocurrency by market value was trading around $34.000 so far and has risen 9% in the past 24 hours.
- Tuesday's nearly 10% price drop was typical of a shakeout, which signals a period of market turmoil when sellers capitulate.
- Bitcoin's two-month downtrend looks exhausted after the Relative Strength Index (RSI) on the daily chart registered a higher low. This means buyers can remain active towards higher resistance levels.
- The RSI on the four-hour chart is not yet overbought, although bitcoin is still below the 100-period moving average, suggesting resistance can be found at $36.000.
- Stronger resistance is seen at $40.000, which is near the upper limit of a one-month range.
Disclaimer: The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.
