Bitcoin Lengthy-Time period Uptrend Intact; Assist Round $53Ok-$56Ok

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Bitcoin (BTC) is stabilizing after falling nearly 10% last week. The cryptocurrency holds initial support above $ 56,000, although resistance at $ 65,000 could limit further upside moves in the short term.

The relative strength index (RSI) is oversold on the intraday charts, which could encourage brief buying activity. On the daily chart, the RSI is approaching an oversold condition similar to late September, which preceded a price rally.

On the weekly chart, Bitcoin’s long-term uptrend remains intact given the upward sloping 40-week moving average. Momentum is still positive on a weekly basis which is in line with a bullish uptrend. And the monthly price chart shows no signs of exhaustion on the upside.

However, the weekly RSI is declining from overbought levels, albeit less extreme since January. This means that Bitcoin is prone to higher volatility as buyers take some profits.

For now, Bitcoin needs to hold support and sustain a breakout above $ 69,000 to hit an upside target towards $ 85,000.

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