On Bitcoin’s four-hour chart, the TD Sequential indicator has flashed a sell signal, suggesting that the current uptrend may be running out of steam and that a short-term correction could be imminent.
While the TD Sequential is not a guarantee of future price movements, its historical accuracy might present it as a watchful indicator for traders who are eyeing short-term price movements.
Despite the sell signal, it is important to consider the broader context of the Bitcoin price action.
At the time of writing, BTC was up 1.80% in the last 24 hours to $65,736 after reaching highs of $66,772 in today’s trading session.
BTC surged to over $66,000 on Wednesday as U.S. inflation data heightened the prospects of the Fed cutting interest rates in the coming months. BTC, like other risk assets, is susceptible to predicted changes in major central banks’ monetary policy.
The latest data releases suggest that U.S. weekly jobless claims remain elevated, while April import and export prices both rose sharply on the month. Import prices rose 1.1% in April.
As it stands, eyes are on BTC’s daily 50-day SMA at $65,111 to act as an intermediate support to halt BTC’s current price declines. Bulls might need to defend this key support level to prevent declines near $60,000.
On the other hand, if buyers sustain the BTC price above the 50-day simple moving average, this might trigger a possible rally to the resistance at $73,777, where bears are expected to put up a fight.
Galaxy Digital founder and CEO Mike Novogratz predicted during the firm’s first-quarter earnings call that Bitcoin might consolidate between $55,000 and $75,000 before moving higher. Traders should pay attention to these key Bitcoin price levels.
This article was originally published on U.Today
Source: Cryptocurrency - investing.com
