- Bitcoin renews the push for gains above $50,000 after retesting support at $48,000.
The 50 SMA on the 4-hour chart plays a vital role in the push for new record highs.
BTC must sustain gains within the ascending channel; otherwise, a breakdown to $40,000 may occur.
Bitcoin briefly stepped above $50,000 on most of the exchanges during the Tuesday session. The flagship cryptocurrency hit a new record of $50,720 on Coinbase before a sharp correction under $50,000.
Support above the 50 Simple Moving Average (SMA) on the 4-hour played a crucial role in ensuring that BTC stays afloat and avoids declines to lower levels like the support at $46,000. Meanwhile, BTC has bounced off the immediate anchor at $48,000 and is rocking at $49,500.
Bulls have eyes on levels beyond $50,000 despite the sellers fighting for dominance. The 4-hour chart brings to light an improving bullish outlook. For instance, the Moving Average Convergence Divergence (MACD) appears to have settled above the midline.
Similarly, a call to buy is likely to manifest as the MACD line (blue) crosses above the signal line. The MACD is a technical indicator that follows the trend of an asset and measures its momentum. When timed correctly, traders can use the MACD strategy to identify possible entry and exit positions.
Consequently, the chart highlights that Bitcoin is trading in an ascending parallel channel. Slightly above the prevailing market price is the middle boundary. The resistance at this area must be broken for Bitcoin to make a more vigorous approach at $50,000 and the levels toward $60,000.
On the other hand, the breakout may fail to occur if the 50 SMA is lost as support. Trading under the channel’s lower boundary will also open the door for losses towards $40,000.
Bitcoin intraday levels
Spot rate: $49,650
Percentage change: 1%
Relative change: 495
Trend: Bullish
Volatility: Growing
