Bitcoin (BTC) Price Analysis – May 3
Bitcoin Breaks $5600, The Bulls Are Back Again
Published on Friday May 3, 2019
BTC/USD Medium-term Trend: Bullish
Supply levels: $5900, $6000
Demand levels: $5400, $5200
Following last month price surge, Bitcoin remained bullish on a medium-term outlook. After holding long on the $5600 supply level for over two weeks, today, price broke up and erected a new price at around $5800 level. In future trading, the price may quickly see the much-anticipated price of $6000. On a slope move, the bear may locate a demand at $5400 level and below.
However, the 4-hours RSI lies at the overbought zone after the recent bullish move. Also, the 4-hours Stochastic RSI has been significantly trending at the overbought for the past three days; suggesting Bitcoin is overdue for a bearish move. Still, the 200-day moving average remains the bulls’ defense line.
BTC/USD Short-term Trend: Bullish
On the hourly chart, Bitcoin follows a bullish sentiment after crossing up the 200-day moving average on May 1. Having posted a new price level at $5800 a few hours ago; the bulls are now gaining control of the market. The next supply levels for the buyers are $5450 and $5900. A possible demand level for the bears is $5500 and below.
As revealed on the hourly RSI, BTC is already dropping below the overbought level. Meanwhile, the hourly Stochastic RSI rests extremely at the oversold region; suggesting a weak selling pressure which could possibly lead the bulls in more actions. Currently, BTC market needs to run a slight retracement before further inclining.