Crypto Stock Marathon Digital Looks To Be Breaking Out After Bitcoin Touches $50k Again

Marathon Digital Holdings Inc. MARA shares are trading higher Monday after Bitcoin BTC/USD once again reached the milestone of crossing the $50,000 mark. Alongside Bitcoin, Ethereum ETH/USD has also been gaining traction and pushing higher.

Marathon was up 4.9% at $36.99 at time of publication.

See Also: How Bitcoin Is Preparing For An Explosive Bullish Break

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Marathon Daily Chart Analysis

• Shares were able to cross pattern resistance in what technical traders call a pennant pattern. Shares then held pattern resistance as a support level and moved higher.
• The stock is trading above both the 50-day moving average (green), and the 200-day moving average (blue), indicating the stock has seen recent bullish sentiment.
• Each of these moving averages may hold as an area of support in the future.
• After crossing pattern resistance the stock looks to be breaking out. An above-average volume day in the future could cause the stock to see a large upward move.
• The Relative Strength Index (RSI) has been pushing higher and now sits at 66. This shows there has been more buyers moving into the stock, and it has almost reached the overbought range.

What’s Next For Marathon?

Bullish traders are looking to see the stock continue to break out and push higher. Bulls would like to see the RSI move into the overbought range with a day of above-average volume for a possible large upward move.

Bears would like to see the stock drop further and break below pattern support. This could cause the stock to lose steam and start to drop off. Ears would like to see the stock cross below the moving averages for a possible change in trend and sentiment.