Bitcoin analysis for April 22, 2021

Following Bitcoin (BTC) on the hourly time frame, we see that for now, we find support in the zone around $ 54000. We are still under pressure from moving averages from above, but now there is likely that Bitcoin will overcome that and break above them. If the price reaches the $ 56,000 zone and starts consolidating, we could consider continuing the bullish trend, with a potential target on the upper resistance line at $ 58,000.
The MACD indicator tells us that it has found support and expects a further recovery in the price above $ 54,000. For the bearish scenario, we expect resistance in the MA20 and EMA20 to continue and break below the $ 54,000 zone, looking at the $ 50,000 price tag, as a place of stronger buyer support.

Fees for bitcoin transactions have reached an all-time high amid a massive drop in online hashing rates. The latest increase in fees for Bitcoin transactions comes when the Bitcoin network has witnessed a large drop in the hashing rate. Over the weekend, amid falling Bitcoin prices, BTC recorded the biggest daily drop in the network’s hash rate since late 2017. The huge drop in the bitcoin scattering rate could be attributed to a power outage at China’s main BTC mining farms in Xinjiang.

• Dogecoin analysis for April 22, 2021

According to Dovey Wang, the founding partner of Primitive Crypto, the provinces of Xinjiang and Sichuan in China collectively make up over 50% of the total Bitcoin hash rate. The miners choose the highest-paid fees associated with the transaction and decide to include them in the block they extract, giving them a direct economic incentive. With the sluggish scattering rate recorded over the weekend, the miners’ total revenue also peaked at all times.