Bitcoin Shows Signs of ‘Short-Term Fatigue’ Near $ 50,000 Ahead of Possible Lawsuit

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Bitcoin failed to break above the $ 50,000 price tag on weekend trading and is starting to signal signs of short-term profit taking.

The world’s largest crypto by market cap is down 2.5% in a 24-hour period and is currently changing hands for around $ 45,892, according to data from CoinDesk.

Still, bitcoin has risen 56% year-to-date thanks to a strong performance from bullish traders throughout the first half of August, which saw prices drop from $ 38,000 on August 4 to around $ 48,190 Saturday.

“The price has rebounded strongly now, but this upward movement is showing signs of fatigue in the short term,” said Simon Peters, market analyst on the eToro trading platform. “We may see a small retracement to lower prices before the dominant trend reasserts itself.”

According to data from Datamish, low levels of daily trading volume persist as bitcoin struggles to rise as short positions build, pointing to a return to lower supports near $ 44,000.

“Even though the trend has turned bullish, a pullback is to be expected before continuing,” said Marcus Sotiriou, trader at GlobalBlock, a UK-based digital asset brokerage. “This is because there was a decrease in volume with an increase in price, as well as a bearish divergence of the RSI indicator over the daily period.”

Other notable cryptos in the top 20 by market cap over a 24-hour period are mixed with polkadot, solana, and terra showing the highest gains while Aether, XRP and Star lost the most over the course. from the same period.

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