Bitcoin Resumes Fresh uptrend as It Recoups Above $49.60K– September 4, 2021
BTC/USD has begun a downward move after failing to sustain above the $50,000 as it recoups above $49.60K. On September 2, BTC’s price rallied to $51,142 but it was repelled as the crypto dropped sharply. Bitcoin retraced to the low of $49,584 as bulls bought the dips. BTC price corrected upward to $50,544 but faced another rejection. The selling pressure has resumed as price makes lower highs and lower lows.
Resistance Levels: $50,000, $51,000, $52,000
Support Levels: $40,000, $39,000, $38,000
Today, Bitcoin has retested the $50,200 high before resuming downward as it recoups above $49.60K. BTC price is falling and approaching the low of $49,600 support. The support has been holding for the past 48 hours as Bitcoin approaches its previous low. A break below this support will accelerate price movement on the downside. Bitcoin is likely to decline to the low of $48,290. However, if the support holds, BTC price will resume upside momentum. That is, BTC prices will rise and retest the previous highs. The Relative Strength Index Period 14 is at level 61. This suggests that Bitcoin has room to rally on the upside.
Bitcoin on the Path to $100K as It Recoups Above $49.60K
Mike McGlone is Bloomberg’s senior commodity strategist. He indicated that the first-born cryptocurrency is on its way to becoming a global reserve asset that matches the United States dollar. He observed that portfolios lacking BTC or ETH exposure are “naked”. This has been confirmed by the relative underperformance of gold and government bonds: “Portfolios of some combination of gold and bonds appear increasingly naked without some Bitcoin and Ethereum joining the mix. A macro risk-off decline is a primary threat for the crypto bull market.”
Today, BTC’s price is falling after the resistance at $50,200 as it recoups above $49.60K. Bitcoin will further decline if price retraces and breaks below the $49,600 support. Meanwhile, on September 3 downtrend; a retraced candle body tested the 50% Fibonacci retracement level. The retracement indicates that BTC will fall to level 2.0 Fibonacci extension or level $48,156.90.
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