During Friday session the BTC price reported a slight increase of 0.7% after falling more than 7% sending the price to touch the $ 5000 again, just a few days ago Bitcoin reached $ 5400, however we mentioned the low level of purchase in addition to the RSI above 80%.
At this moment with the downward movement, Bitcoin achieves that the RSI leaves the overbought area; in addition a possible entry point is at $ 4500 which acts as the main support.
- Bitcoin leaves the overbought area
- The price could go to look for the $ 4500
- Decrease the purchase level
Analyzing the behavior of the BTC/USDT pair in 1-day time, we can see how the price has fallen more than 7% from its highest peak in the $5400.
The price touches the slow moving average so the pullback that we had announced during the course of the week, is likely to happen reaching the support of $ 4500. Importantly, many analysts see the $ 3500 as the main support of BTC before entering a rally that can take us above $ 7000.
Personally I would not recommend going long at this time since the market has a high probability of increasing, it is best to wait until you touch the $ 4500 or be attentive to the volume level to take advantage of small scalping-type increases.
- Moving Averages EMA 9/26
- RSI (relative strength index) 64%
- Support $4500
- $ Resistance $6100