Bitcoin Returns Below $5,000 Again but the 20 SMA is Pushing it Higher

Cryptocurrencies had such an interesting week this week; the first one in a long time, particularly for the bulls, since cprytos have been on a bearish trend for more than a year. BITCOIN finally made a clear break of the $4,000 level this week after having found resistance at this area for several months and pushed to $5,000.

The first move to the $5,000 level was rejected despite the strong rally worth nearly $1,000 in two hours. The price retraced back down to $4,600s but the upside move resumed pretty quickly and the buyers pushed above the $5,000 level on Wednesday. This was a sign that buyers were still in control.

Although, yesterday Bitcoin turned back down and Wednesday’s gains were erased. Now this is a sign that the sellers are not yet out of the picture. The bigger trend is still bearish and it seems now that the zone above the $5,000 level has formed a resistance area. So, we’re back below $5,000 but the 20 SMA (grey) is preventing Bitcoin from slipping lower and in fact this moving average has been pushing Bitcoin higher since yesterday.

Bitcoin is finding support at the 20 SMA

Although, at the moment the sellers are trying to keep the price below $5,000 and the 20 SMA is still moving higher, which means that right now the price is slipping below the 20 SMA. If the sellers manage to push below the 20 SMA, then they have a strong case for a bearish reversal in the coming days. Otherwise, if Bitcoin climbs and holds above $5,000, the next target will be the $6,000 level.