Bitcoin Price Analysis
Bitcoin bounced off the $56,552 support on July 12 and rose above the 20-day simple moving average ($59,422) on July 14, indicating that the bulls are attempting a comeback.
The positive divergence on the relative strength index (RSI) suggests that the selling pressure is easing. If the buyers sustain the price above the 20-day SMA, it increases the probability of a rally to the crucial $64,602 level.
However, the bears are unlikely to give up without a fight. They will try to defend the 20-day SMA and push the price below it. If they manage to do that, the BTC/USDT pair could retest the $56,552 support.
The bulls pushed the price above the downtrend line on the 4-hour chart but are struggling to sustain the higher levels. This suggests that the bears are trying to trap the aggressive bulls by pushing the price lower.
If the price turns back, it is likely to find support at the 20-SMA. If the price rebounds off the 20-SMA, it will indicate a shift in sentiment from selling on rallies to buying on dips. This will increase the prospects of a rally to $64,602.
Conversely, if the bears sink the price below the moving averages, it will indicate that they are still in command. The pair could drop to $56,552 and eventually to $53,485.