Bitcoin (BTC) buyers continued to take profits during Asia hours as short-term overbought signals appeared on the charts. The cryptocurrency is trading around initial support at $47,500 at press time and is down about 3% over the past 24 hours. A lower support zone between $42,000-$45,000 could stabilize the pullback.
The relative strength index (RSI) on the four-hour chart is approaching oversold territory similar to April 18, which preceded a price bounce.
However, the RSI on the daily chart is declining from overbought levels as buyers struggled near the $50,000 resistance level.
Bitcoin’s 30% rally over the past month appears to be exhausted, although support above the $42,000 breakout should hold.
Altcoins continued their descent in line with Bitcoin on the day, in classic fashion often posting deeper losses.
Ether (ETH) lost over 6% to near $3,000 support, while the top 10 cryptocurrencies’ biggest loser was Solana (SOL), which shed close to 14%.
Cardano (ADA), despite trading 8% lower at $2.65, still preserved weekly gains of 34%.
Van de Poppe added that a slow grind back up for Bitcoin would give altcoins room to outperform, this potentially penciled in for September or October.
More broadly, cryptocurrency markets are expected to put in a second major surge toward the end of the year, Cointelegraph reported.
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