The cryptocurrency market is having an excellent Wednesday after underperforming over the past two days.
The cryptocurrency market is recovering from the losses it recorded earlier this week. After dropping below the $1 trillion mark earlier this week, the total cryptocurrency market currently stands above $990 billion after adding more than 3.5% to its total value.
Bitcoin, the world’s leading cryptocurrency by market cap, has also been performing well over the past 24 hours.
After losing its value above the $23k level, Bitcoin risked dropping towards the $20k support level.
However, BTC has added more than 3% to its value in the last 24 hours and is currently trading at around $21,700 per coin.
The market has been bullish so far today, and that could see Bitcoin perform well in the coming hours.
The United States Federal Reserve is expected to hike interest rates later today, and that could affect Bitcoin’s performance in the short term.
Key levels to watch
The BTC/USD 4-hour chart is bearish despite Bitcoin performing well over the last 24 hours. The technical indicators show that BTC is currently recovering from its recent losses.
The MACD line remains below the neutral zone, indicating that the bearish momentum is not over. The bulls would need to push Bitcoin higher over the coming hours or days for the MACD to move into the positive zone.
The 14-day RSI of 48 shows that Bitcoin is no longer in the oversold region. Further rally could see the RSI surge towards the 60 mark in the coming hours.
At press time, BTC is trading above $21,699 per coin. If the rally continues, BTC could surge past the $22k resistance level before the end of the day.
However, it would need the support of the broader market to make a move towards the $23k resistance level in the short term.