Bitcoin price edges higher on Wednesday with good trading volumes. BTC opened lower but recovered quickly to the highs of $41,717.67. Bitcoin price broke above the upper resistance placed at $41,000 bringing conviction among traders for further upside.
- Bitcoin price traders higher above $40k on Wednesday.
- Expect more gains if the price is close above $42K.
- Momentum oscillators tilt in favor of bulls in the short term.
As of publication, BTC/USD is trading at $40,614.84, up 2.62% for the day. The world’s largest and most famous cryptocurrency by market cap holds a 24-hour trading volume at $35,483,380,192 with gains of 45%.
A rise in volume along with an increase in price is a bullish sign.
Bitcoin price looks for an upside reversal
On the daily chart, the Bitcoin price rallied above $40,000 after testing the lows of $38,850. Currently, it is hovering below the 50-day EMA (Exponential Moving Average) at $40,706.20.
A resurgence in the buying order will push the price higher to meet further upside hurdles. The first target is placed at the horizontal resistance level at $42,586.73.
An extended buying pressure will bring $45,426.45 in play. A decisive close above the mentioned level will breach the short-term trading range of $37K and $45K.
On the flip side, if the price is not able to sustain the session’s low then it can reverse the current price action. Moving down, the first target is found at $37,500. A daily close below the mentioned support level will negate the bearish outlook for the pair.
RSI: The daily Relative Strength Index trades above the average line. Currently, it reads at 51 with a bullish bias.
MACD: The Moving Average Convergence Divergence holds below the midline. Further, it trades with a positive bias.