Bitcoin (BTC) On a Recovery Mode, Moving over 50-Day SMA

Bitcoin has its price trading over the 50-d simple moving average after the recent upticks. Keep in mind that the coin has never registered such moves since 12 May. The leading currency has traded between $41K, 19 May highs, and $28.8K, 22nJune range. Such price movements translate to a 30.3% slide.

The coin struggled from these lows with multiple surge attempts, reaching a semiannual pivot on 29 June at $35,643.29. Also, Bitcoin had another low on 19 July, hitting the $30,400.00. That low has had the leading cryptocurrency hovering around 50-d SMA at $34,183.35.

If BTC maintains over $34,183.35, it might rally to its weekly and semiannual risky zones from $35,643.29 to $36,863.07. Though the upside moves, its weekly price chart remains dull as the coin closed beneath its 5-week modified MA on 30 July at $36,162.14.

BTC Daily Chart

Since 26 May last year, BTC has traded over a golden cross when the 50-d SMA (at 8,322.00 by then) rose over the 200-d SMA near 8,052.43. The 50-d small moving average at $29,252.24 served as a purchase level on 27 January. Remember, the last time BTC tested the 50-d SMA was on 24 March while trading at $50,951.90. On 18 April, the coin closed at $55,550.00 beneath the 50-d small moving average at $56,252.44.

The 19 May session had BTC trading beneath the 200-d SMA near $39,763.27. Since then, the trading range has dropped from 15 June highs of 441,323.06 to the 22 June lows at $28,800.01.

Meanwhile, the horizontal line at the coin’s graph remains at July’s risky zone at 62,927.95. Moreover, the same line at the chart’s bottom is at 18,892.52, the yearly value. Such actions print downside risk.

The three horizontal price lines in the range are 32,802.94, the quarterly pivot, 35,643.29, the semiannual risky point, and 36,863.07, the weekly zone.

The BTC market had the last long-term purchasing opportunity during 2020, 15 March, and 2 August. On 15 March, BTC tested 200-d SMA that stood at 5,540.89 by then. On 2 August, the currency broke over the declining trend-line around 10,128.28.

For now, the trading strategy is to purchase BTC at its weak moments around 32,802.94, quarterly pivot, and decrease holdings when the asset gains ground at 35,643.29, semiannual levels, and 36,863.07 weekly pivots.