Bitcoin Struggles at Resistance; Support at $35K

Bitcoin (BTC) approached resistance just below $40,000 on Monday as sellers were quick to return. The near 20% price rise from Sunday’s low around $31,000 was short-lived as intraday charts registered overbought signals.

Bitcoin could find initial support around $35,000, although upside remains limited toward $40,000 resistance.

The relative strength index (RSI) is not yet oversold on the hourly chart which suggests further downside in bitcoin over the short-term.
The long-term uptrend is weakening, although the daily chart appears oversold for the first time since September 2020.
A decisive break above $40,000 is needed to resume the uptrend. For now, bitcoin remains in a corrective phase and does not appear exhausted on daily and weekly price charts.
The cryptocurrency was trading around $37,000 at the time of writing and is down about 13% over the past seven days.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Damanick Dantes

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.