Bitcoin is once again trading above $41,000 after adding more than 3% to its value today.
The broader cryptocurrency market continues its recovery, adding more than 2% to its value in the past 24 hours. At press time, the total market capitalization of the cryptocurrency stands at around $1.9 trillion.
The total market capitalization could soon hit the psychological $2 trillion mark, with the gains being spread across the entire crypto market.
Bitcoin remains the leading cryptocurrency, with a market dominance of over 41%. BTC has added over 3% to its value in the past 24 hours, outperforming the broader cryptocurrency market.
Bitcoin is now trading around $41,200 per coin, an improvement from earlier this week when the major cryptocurrency briefly dipped below the psychological level of $40,000.
If the market maintains the current momentum, Bitcoin could look to recover its price above $43,000. However, it would take something special to break above the $45,000 resistance level before the end of the week.
Key levels to monitor
The BTC/USD 4-hour chart is currently one of the most bullish among the top 10 cryptocurrencies by market cap. Bitcoin is only surpassed by LUNA and AVAX in the top 10 at the moment.
The MACD line is still below the neutral zone, an indication that the bearish momentum has not completely disappeared.
The 14-day RSI of 50 shows that Bitcoin is no longer in oversold territory. However, it would need to post further gains to enter the overbought zone over the next few days.
If the rally continues, Bitcoin could breach the first major resistance level at $42,621 before the end of the day. Bitcoin will trade above $43,000 again if the bullish momentum continues over the next few hours.
However, Bitcoin could drop towards the $40,000 support level if the downtrend resumes. Barring a massive loss, Bitcoin is likely to defend its price above $39,000 in the near term.