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Bitcoin Stabilizes After Pullback; Faces Resistance at $57K
The broader uptrend remains intact despite several months of consolidation.
Updated Mar 6, 2023, 3:19 p.m. Published May 11, 2021, 11:27 a.m.
Bitcoin (BTC) is stabilizing after a near 7% drop on Monday as buyers continue to take profit. The cryptocurrency could see further upside towards resistance at $57,000.
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The broader uptrend remains intact despite several months of consolidation. Sharp price moves are typical during consolidation phases, which can result in frequent drawdowns.
- The relative strength index (RSI) on the hourly chart registered an oversold reading after Monday’s decline, which suggests a brief price recovery is underway.
- Bitcoin held support around $54,000 along a series of higher price lows over the past few weeks.
- Resistance is seen around the 100-period moving average on the hourly chart around $57,000 which could limit price gains.
- Bitcoin has traded in a range between $53,000 and $59,000 as buyers struggle to retrace the April 14 sell-off.
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Solana CME Futures Fell Short of BTC and ETH Debuts, but There's a Catch
When adjusted for asset market capitalization SOL's relative futures volume looks better, K33 Research noted.
What to know:
- Solana's SOL futures began trading on the Chicago Mercantile Exchange (CME) on Monday, with a notional daily volume of $12.3 million and $7.8 million in open interest, significantly lower than the debuts of bitcoin (BTC) and ether (ETH) futures.
- Despite the seemingly lackluster debut, when adjusted to market value, SOL's first-day figures are more in line with BTC's and ETH's, according to K33 Research.
- Despite the bearish market conditions, the launch of CME SOL futures offers new ways for institutions to manage their exposure to the token, said Joshua Lim of FalconX.
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