Bitcoin ended last week with a rally from a low around 214 to a high around 241. Compared to price action the week before, btcusd made a new low and then a new high. Over the weekend price action first sauntered sideways but is entering the May 4th Asian session with a another bullish step. As we can see in the 1H chart below, btcusd remained bullish by respecting a rising channel support. Bitcoin (BTCUSD) 1H Chart May 4 (click to enlarge) In the 1H chart, note that the RSI held above 40 for the most part after tagging above 70, even 80. This reflects maintenance of the bullish momentum. The moving averages have turned to sloping up and are in bullish alignment with price trading above the 200-, 100-, and 50-hour simple moving averages. Most importantly for the bullish picture, the rising channel was intact, and price made a new high around 243. One thing that does not look good is the low volume, and the fact that the high did not reach the channel resistance. However, I wouldn't read too much into this because it is only the start of the regular trading week. If this was mid-week, then we should be more concerned that bulls are exhausted in this bullish correction. Bitcoin (BTUCSD) 4H Chart May 4 (click to enlarge) The 4H chart shows a market that has shifted from a bearish mode to at least a sideways one if not bullish. Before we turn bullish on this cryptocurrency, consider the possible expanded flat scenario, which suggests bearish continuation. In both the expanded flat, and the sideways market scenarios, we might see a retreat towards the 230-232 key support/resistance pivot area. If price can hold above 230, then we are likely to have a bullish development. Otherwise, below 230, the pressure will remain back towards the 214 low..