Bitcoin was trading at $30,000 at the time of writing. The coin held its resistance at $28,000 as the bears came to the rescue.
For the past 24 hours, Bitcoin has attempted to break out of its consolidation. For the consolidation to be invalid, it must trade above the $31,000 price level.
As usual, sideways movement can lead to a breakout case. Bitcoin indicators on the one-day chart are looking positive. In the last 24 hours, BTC is up 4.6%, and over the past week, there has been a 0.8% appreciation.
Despite a positive outlook on the one-day chart, there is a possibility of a downside break. The global cryptocurrency market cap today was $1.33 trillion, with a positive change of 3.8% over the last 24 hours.
Bitcoin Price Analysis: One-Day Chart
Kingcoin was trading at $30,542 at press time. After trading near its tight $28,000 support line, the coin broke through the $29,000 level.
The currency’s overhead resistance stood at $31,000 and if the bulls continue the momentum, the coin could attempt to trade near $34,000.
Another resistance level came in at $36,000 and then $37,000. The volume of the currency has increased, which is related to the upward movement.
The volume bar was green at the time of writing, which also indicates increased buying pressure. Despite Bitcoin painting the coin bullish, it formed a descending triangle.
A descending triangle is associated with bearish price action, so it cannot be said with certainty that the currency would move higher.
Technical Analysis
Bitcoin was showing bullish signals on the one-day chart. The Relative Strength Index rallied on the chart, the indicator moved north near the 50 line.
This read meant buyers were returning to the market and signified increased demand, indicating upward pressure.
The Average Directional Index shows the directional trend of the currency. The ADX parked above the 40 level, indicating a strong current trend.
However, the ADX showed a downward tick and this could mean that the momentum of the current price is fading, indicating a change in the momentum of the current price.
Awesome Oscillator showed green histograms. The indicator represented market dynamics and showed an upward trend. AO also showed buy signals on the one-day chart.
This matched the Relative Strength Index as the indicator rose near the midline. Chaikin Money Flow determines capital inflows and outflows.
The indicator was hovering near the midline as capital flows had recovered at the time of writing.
However, it is uncertain whether BTC will trade according to the indicators as the coin also hints at a possible price drop.
