Bitcoin Oversold Near $46K Support; Resistance at $55K
The cryptocurrency could see a brief price bounce, although sellers remain in control.
Updated May 11, 2023 at 5:15 p.m. UTC
![Bitcoin daily price chart shows support/resistance levels with RSI on bottom (Damanick Dantes/CoinDesk, TradingView)](https://www.coindesk.com/resizer/dgVwWpf3jzgfkVCnLNrJskcxoHQ=/567x425/filters:quality(80):format(jpg)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/KH4P3GMVQRFMXIGSWKBCYKSMEQ.png)
Bitcoin (BTC) continues to hold support above $46,000, which is near its 200-day moving average. The cryptocurrency could see a brief price bounce toward $55,000 if buyers react to oversold signals on the charts.
BTC was changing hands around $47,900 at press time and has traded in a tight trading range over the past week.
Price momentum is starting to turn positive on the daily chart for the first time since October, which preceded a price recovery. This time, however, the uptrend is slowing on the weekly chart, which means upside could be limited beyond $55,000 to $60,000.
The relative strength index (RSI) on the daily chart is the most oversold since late-September, although buying has been weak relative to prior RSI signals.