Share this article
Bitcoin Overbought at $40K Resistance; Support at $34K-$36K
Lower support is seen around $34,000-$36,000, which is the middle of a two-month range.
Updated Mar 6, 2023, 3:14 p.m. Published Jul 29, 2021, 11:23 a.m.
Bitcoin (BTC) completed a recovery from Monday's 10% pullback and is now re-testing the $40,000 resistance level. The cryptocurrency appears overbought, which could trigger some profit taking after a near 25% rally over the past week.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Lower support is seen around $34,000-$36,000, which is the middle of a two-month range.
- The relative strength index (RSI) on the four-hour chart is declining from an extreme overbought reading on Monday. A lower high on the RSI indicates a bearish divergence, which could stall bitcoin’s short-term uptrend.
- Initial support is seen at the 50-period moving average on the four-hour chart, currently at $36,000. Lower support is around $32,000-$34,000, which could stabilize a pullback.
- The intermediate-term trend is improving with a significant loss of downside momentum over the past few weeks. Buyers could remain active at lower support levels, although a breakout above $40,000-$45,000 is needed to resume the long-term uptrend.
More For You
L1 tokens broadly underperformed in 2025 despite a backdrop of regulatory and institutional wins. Explore the key trends defining ten major blockchains below.
What to know:
2025 was defined by a stark divergence: structural progress collided with stagnant price action. Institutional milestones were reached and TVL increased across most major ecosystems, yet the majority of large-cap Layer-1 tokens finished the year with negative or flat returns.
This report analyzes the structural decoupling between network usage and token performance. We examine 10 major blockchain ecosystems, exploring protocol versus application revenues, key ecosystem narratives, mechanics driving institutional adoption, and the trends to watch as we head into 2026.
More For You
BlackRock’s BUIDL hits $100M in dividends and passes $2B in assets
BUIDL tokens are used in crypto market infrastructure and as collateral, bridging traditional finance and blockchain technology.
What to know:
- BlackRock's tokenized money market fund BUIDL has paid out $100 million in dividends since its launch in March 2024.
- The fund, valued at over $2 billion, invests in short-dated U.S. Treasuries and cash equivalents, and is one of the largest tokenized cash products.
- BUIDL tokens are used in crypto market infrastructure and as collateral, bridging traditional finance and blockchain technology.
Top Stories
