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The Bitcoin price has advanced out of the $45k-$48k range and is currently trading around $57k. At the time of publication, the biggest cryptocurrency was worth $58,335 and had a market capitalisation of $1 trillion.
The unforeseen rally that pushed BTC to a new all-time high above $60k was followed by a reversal. The value of BTC fell to $53k, but traders have since moved it higher.
Bitcoin six-hour chart
These highs and lows were recorded in the chart above over the last few days. BTC’s new market is showing signs of restructuring, which could continue in the medium term.
After the correction and surge, the Bollinger Bands remained diverged. This market surge has culminated in the bulls retaining hold of the current trend. The signal line slid under the candlesticks, signalling that pressure was increasing. Despite the correction, the 50-day moving average was suggesting that the Bitcoin price was slowly rising as it stayed below the price bars.
Meanwhile, the Relative Strength Index [RSI] indicated that as the market’s demand demand increased, so did the stock. The RSI value at the time of publication was 54, which was similar to the equilibrium zone. Given the present valuation of BTC, the purchasing and selling forces have been equalised.
Despite the bullish market, however, momentum has stayed poor. This suggested that the consumer may be unprepared for a price swing and may prefer to trade within its existing price range.
According to the Bitcoin map above, the abrupt rise and fall has caused the current valuation to drift sideways. This sideways trend is likely to persist as buyers and sellers evened out in the market while momentum stayed strong.