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What is Bitcoin (BTC) Doing Right Now?
Bitcoin is currently trading around the $51,000 level and is looking bearish in the immediate short term. As mentioned in our previous analysis, the $50,500 – $51,000 is an important level of support, and BTC must bounce off it to sustain its momentum.
We have also seen strong rejection from our resistance zone around $53,000, which indicates we might be having a bit of correction for Bitcoin.
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Analyzing the Charts
The important region we will be watching on all timeframes right now is the support zone between $50,500 and $51,000. Bitcoin must hold this region to stay bullish in the immediate short term.
This region can also be labeled as a strong support zone because it was a major resistance level in the past. Once we broke above this level, the strong resistance was flipped into strong support.
This 4-hour chart shows that our support zone has rejected the price several times in the past and saw a price spike once we got above it.
It is highly likely that we will bounce from this region and move towards our next target of $54,000.
On the other hand, if we do end up falling below this level, it would be a bearish sign for Bitcoin. The next immediate support we will be looking at would be at the $49,000 mark.
Conclusion: Where is Bitcoin (BTC) Headed in the Short term?
Bitcoin is currently trading at a critical price point and can go either way in the immediate short term. We will wait and let Bitcoin stabilize above $50,500 before we make any new trades. Once we are sure Bitcoin is bouncing back from the support zone between $50,500 – $51,000, only then will we be making short-term trades with Bitcoin.
Margin Trading for Beginners
If you are interested in trading Bitcoin with leverage, you can go through our Margin Trading Guide to get familiar with this concept. You can also check our list of best crypto exchanges to choose the platform that best suits your needs.
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