Bitcoin (BTC) has traded sideways over the past week as the correction phase stabilizes. The cryptocurrency held short-term support at $36,000 and was trading around $39,000 at the time of writing. Resistance is seen at the upper bound of the week-long range around $42,000.
- Bitcoin is holding above the 100-period moving average on the hourly chart which suggests the short-term trend is improving.
- Immediate resistance is seen at $40,000 where buyers failed to sustain upside over the past few days. $42,000 is the next level of resistance which is around the 200-day moving average.
- Bitcoin is down about 3% over the past seven days as the price recovery from $30,000 stalls.
- Volatility has drifted lower since May 23, which is typical during price consolidation. Considering the sharp correction this month, lower volatility could encourage buyers to return at support levels.