Bitcoin Stabilizes at $43K Support; Resistance at $45K-$48K

Range-bound price action could persist for a few days.

AccessTimeIconApr 7, 2022 at 6:21 p.m. UTC
Updated Apr 7, 2022 at 6:25 p.m. UTC

Damanick was a crypto market analyst at CoinDesk where he wrote the daily Market Wrap and provided technical analysis. He is a Chartered Market Technician designation holder and member of the CMT Association. Damanick is also a portfolio strategist and does not invest in digital assets.

Bitcoin (BTC) is stabilizing after a near-10% drop from the $48,000 resistance level earlier this week. The cryptocurrency is holding support above $43,000 and is roughly flat over the past 24 hours.

The relative strength index (RSI) on intraday charts are rising from oversold levels, which could keep short-term buyers active into the Asia trading day. On the daily chart, however, the RSI is neutral with negative momentum, suggesting range-bound price action could persist for a few more days.

BTC will need to make a decisive move above above $45,000 in order to yield upside price targets, initially toward $50,966. For now, the price recovery from the January low at $32,933 remains intact, especially given the positive momentum reading on the weekly chart.

Still, indicators on the monthly chart suggest upside is limited for BTC over the intermediate term. That means BTC will need to maintain stronger support above $37,560 to keep the three-month uptrend of higher price lows stable. A decisive break below that level could invalidate the recovery phase.

The chart below shows key levels to manage short-term risk, per the DeMARK indicators, available on Symbolik.

CoinDesk - Unknown

Bitcoin daily chart shows DeMARK set-ups with MACD on bottom (Damanick Dantes/CoinDesk, DeMARK Symbolik)

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CoinDesk - Unknown

Damanick was a crypto market analyst at CoinDesk where he wrote the daily Market Wrap and provided technical analysis. He is a Chartered Market Technician designation holder and member of the CMT Association. Damanick is also a portfolio strategist and does not invest in digital assets.

CoinDesk - Unknown

Damanick was a crypto market analyst at CoinDesk where he wrote the daily Market Wrap and provided technical analysis. He is a Chartered Market Technician designation holder and member of the CMT Association. Damanick is also a portfolio strategist and does not invest in digital assets.