The large upwards momentum that Bitcoin incurred over the past couple of weeks appears to have petered out as BTC has failed to advance past $5,400 since surging from lows of roughly $4,000 last month.
Despite the dwindling momentum, the rally that brought the enduring “Crypto Winter” to an end may not be over yet, as analysts believe that Bitcoin may be able to surge well into the $6,000 region in the near future as long as it is able to advance higher within the $5,000 region.
Bitcoin (BTC) Advances Past $5,200
At the time of writing Bitcoin is trading up 2.4% at its current price of $5,220, up from its 24-hour lows of $5,030.
Early yesterday, Bitcoin incurred relatively large selling pressure that pushed its price from nearly $5,200 to nearly $5,000, which appeared to put Bitcoin’s position within the $5,000 region in jeopardy as the cryptocurrency’s bears garnered growing strength.
Despite this, BTC has held firmly above $5,000 – which has since turned into a level of support – and now appears to be forming a fresh trading range between $5,000 and $5,400.
The Cryptomist, a popular cryptocurrency analyst on Twitter, spoke about Bitcoin’s current strength from a technical perspective, noting that she is closely watching the RSI for greater insight into where BTC is going next.
“$BTC The .236 on the fib was rejection as mentioned yesterday! The next step is for the candle to follow this break. Once this does, I am sure the RSI support that needs to break will. We then can explore if the bottom can be found,” she explained in a recent tweet.
Analysts Waiting for BTC to Pullback Towards $4,600 Before Entering New Positions
Because the recent slowdown of the crypto market’s upwards surge has left many investors and analysts keen on discovering where the markets are heading next, many analysts are advocating for investors to slow down and wait for a further pullback before entering fresh long positions.
Luke Martin, another popular cryptocurrency analyst on Twitter, explained in a recent tweet that he sees the $4,600 to $4,800 region as an “attractive” level to enter fresh positions, but also noted that Bitcoin may be able to surge past $6,000 if it can move into the mid-$5,000 region in the near-future.
“After an exciting start to April for $BTC, price has stalled right around 5k. If price can close above 5600 I would expect 6k to be reached quickly. I believe the pullback area of 4600-4800 is a more attractive buy than the current level. Move slow. Wait for your play,” he explained.
As the week continues on and as Bitcoin further establishes fresh trading ranges, investors will discover whether or not the recent upwards surge is simply a temporary occurrence, or if it is a lasting movement that will help lead Bitcoin to surge significantly higher in the near-future.