Bitcoin market update - BTC/USD has the second positive monthly closing in succession

• BTC/USD settled above $4,100 during Asian hours.
• The coin is positioned for further upside towards $4,200.
• Bitcoin (BTC) hit the highest level since the end of February during early Monday trading and settled above $4,100. Moreover, the first digital asset logged the second winning month in succession for the first time since the end of 2017.

At the time of writing, BTC/USD is changing hands at $4,110, mostly unchanged both since the beginning of Monday and on a day-on-day basis. Meanwhile, compared to the previous Monday, the coin grew by 2.4%.

“Bitcoin is at its highest level in more than a month this morning, currently testing resistance around $4,200 per coin. Some analysts might note that it seems the long-term bear trend line has now been broken. However, trendlines may be drawn differently by each chartist so this isn’t the purest indicator out there. What’s more pertinent at the moment is the 200-day moving average that draws ever nearer,” Mati Greenspan, senior market analyst at eToro commented.

Bitcoin’s technical picture

BTC/USD continues moving within an upside channel with the upper boundary at $4,161. As the RSI points to the North, which means that BTC/USD has a chance to test the above-said barrier. This level may serve as a short-term resistance and trigger a downside correction towards $4,100, and, possibly, $4,000. This critical support must remain unbroken to allow for another bullish leg towards $4,200.

On the downside, a sustainable move below $4,000 will trigger a strong sell-off with the initial aim at $3,900.

BTC/USD, 4H chart

Tanya Abrosimova

FXStreet