The cryptocurrency is recovering after a poor start to the day, with most coins still in the red zone.
The cryptocurrency market has had a poor start to the day. The market was down by more than 2% earlier today but is slowly recovering and is only down by 1.25% at the time of this analysis.
The total cryptocurrency market cap stands above $950 billion. The bulls could look to push this past the $1 trillion mark in the coming days if last week’s momentum can be repeated.
Bitcoin, the world’s leading cryptocurrency, is down by 1.3% in the last 24 hours. The coin dropped below the $21k psychological level a few hours ago but has bounced back and now trades above $21,100.
The bulls have been able to keep Bitcoin above the $20k mark over the past few days. It dropped below $18k earlier this month but has maintained its value above $20k since then.
Key levels to watch
The BTC/USD 4-hour chart is neutral as Bitcoin has slightly underperformed over the past 24 hours.
The MACD line is around the neutral zone, indicating that Bitcoin is neither bullish nor bearish at the moment. The 14-day relative strength index of 51 shows that Bitcoin is no longer in the oversold region. However, it is also some way off from entering the overbought territory.
If the bulls continue to push harder, BTC could cross the first major resistance level at $21,519 before the end of the day. However, it would need the support of the broader market to move past the $22,899 resistance level for the first time in a week.
The broader market is still bearish, and this could see BTC lose its $20,500 support level in the coming hours. A drop below $20,500 could push Bitcoin below the $20k level for the second time in less than a week.
