BTC/USD edged north yesterday hitting a fresh record high slightly below the psychological zone of $65000, at around $64775. That said, thereafter, it pulled back and the retreat continues today as well. Even if we see some more declines in the short run, as long as the crypto is trading above the tentative upside support line drawn from the low of Feb. 26, we would consider the trend to be to the upside.
A break below yesterday’s low of $61100 may confirm the case for an extended pullback, perhaps towards Monday’s low, at around $59200. If the bulls are strong enough to take charge from near that zone, we could see them aiming for the all-time high again, at $64775, or the psychological zone of $65000. If they don’t stop there this time around, a break higher would take the crypto into uncharted territory.
Looking at our short-term oscillators, we see that the RSI stands slightly above 50 and points down, while the MACD, although positive, lies below its trigger line, pointing south as well. Both indicators detect slowing upside speed and support the notion for more downside correction.
Nonetheless, in order to abandon the bullish case, we would like to see a slide below $55350, a support marked by the low of Apr. 7. Bitcoin would already be below the aforementioned upside support line, while the dip below $55350 would confirm a forthcoming lower low on the daily chart. The bears may then push the action towards the $53100 zone, marked by the inside swing high of Mar. 25, the break of which could trigger extensions towards the low of the same day, at around $50200.