According to CryptoPotato, Bitcoin's price has recovered from a sudden drop after facing rejection at the $48K level. However, the cryptocurrency has not yet reached a higher high. On the daily timeframe, the price has been rising over the past few weeks after rebounding from the $40K support level. The market is currently rising toward the $48K resistance level once more. The Relative Strength Index (RSI) is also showing values above the 50% level, indicating that the momentum is in favor of a further bullish continuation. If BTC's price breaks above the $48K level, the market will likely head for a new all-time high in the coming months.
Looking at the 4-hour chart, the recent action becomes more clear. The price is currently testing the $45K resistance level, but the momentum is seemingly fading. The RSI is also showing a clear overbought signal. Therefore, it is probable that consolidation or a correction will occur in the short term before the market can continue toward making a higher high.
While Bitcoin's price has been recovering from the recent drop, some network fundamentals are cooling down. This can be interpreted as a bullish signal, as supply is seemingly shrinking. The Bitcoin short-term holder spent output profit ratio (SOPR) metric is a ratio of spent outputs (alive more than 1 hour and less than 155 days) in profit at the time of the window. Values over '1' indicate more short-term investors are selling at a profit, while values below '1' indicate that more short-term investors are selling at a loss. The SOPR has recently displayed very high values, but the metric is currently declining. This points to the fact that many short-term investors have sold their coins, and the selling pressure is decreasing. If this continues, a sustainable uptrend can be expected in the short term.
