Bitcoin’s price surge has come to a halt following a consistent rally over the last couple of months. Investors and traders are uncertain whether the trend is about to reverse or is only going through a short-term consolidation.

Technical Analysis

By TradingRage

Bitcoin Price Analysis: The Daily Chart

On the daily chart, the price has been making higher highs and lows since the rebound from the $20K level back in March. Several resistance levels have been broken to the upside. Meanwhile, BTC is struggling to reach the critical $48K level and is demonstrating range-bound movement.

It is also trending way above the 200-day moving average, located around the $32K mark. Therefore, a consolidation or even a correction seems probable for the 200-day moving average to catch up.

The 4-Hour Chart

The 4-hour chart depicts a more clear picture of recent price action. The market has formed two short-term resistance levels at $45K and $43K price marks and is trading below both, respectively.

If it fails to quickly recover above the $43K level, a short-term drop toward the $40K zone could be expected. With the relative strength index showing values lower than 50%, the momentum is in favor of a bearish movement, and a decline is more likely.

Bitcoin On-Chain Analysis

By TradingRage

Bitcoin Short-Term Holder SOPR (SMA 30)

Bitcoin’s price has been rallying over the last few months, recovering from the depths of the bear market. Yet, market participants are wondering whether a correction is due or not. Analyzing the investors’ behavior might answer this question.

This chart represents the short-term holder Spent Output Profit Ratio (SOPR). It measures the ratio of profits (or losses) th