FX.co ★ Bitcoin bounces strongly above $40,000

Bitcoin bulls are fighting back today as price made a low yesterday just below $30,000. Short-term trend remains bearish. Price has so far made an impressive reversal but we need to see more signs of strength in order to be more sure that a low is in.

Red rectangle - resistance (previous support broken)

Bitcoin has retraced more than 50% of the rise from 2018 lows. The chances of a major low just below $30,000 are high, but there is no confirmation yet. Major resistance is found at $47,000. Bulls will need to recapture this key resistance level in order to reclaim the trend. Until then, price remains vulnerable to a new lower low and the return of stronger sellers.