Bitcoin (BTC) buyers were active during Asia hours as pullbacks remain limited to the $40,000 support level. Initial resistance is seen around $45,000, which could cap further upside over the short-term.
BTC was trading around $42,900 at press time and is down 3% over the past week. Downside momentum is starting to wane, which could keep buyers active, albeit within a range between $40,000 support and $50,000 resistance.
- The relative strength index (RSI) on the four-hour chart continues to rise from extreme oversold levels last week, suggesting that price is starting to stabilize after a volatile month.
- The RSI on the hourly chart, however, is declining from overbought levels. This means intraday buyers are starting to take some profits, although support at $40,000-$42,000 could stabilize a brief pullback.