Bitcoin Is Set To Breakout

avatar

From November 8 to December 17, the Bitcoin price dropped from $68k to $46k. Even though it increased to $51k with reaction purchases, it could not hold on to this level. Then it went down to 46k again. Then, the Bitcoin price unexpectedly slipped below this level and fell to 33k. Since January, Bitcoin price has tried to pass the $45k-$46k band 3 times, but it has come back every time. Fortunately, it created higher dips each time during the retracement.

image.png

As seen in the chart, Bitcoin price has been forming an ascending triangle in the last 2 months. It will try to cross the 45-46k band upwards for the fourth time. The price is around this level for 4 months. So the result is critical.

Possibilities are:

  1. BTC price breaks the resistance point and rises towards the 50k level.
  2. BTC price breaks the resistance point up, declines, this time the 45-46k band becomes the support zone, and it moves towards 50k.
  3. It fails to break the resistance point and retraces towards the green support level and then makes a new attempt to the upside.
  4. It pulls back from the resistance point, breaks the green support level downwards.

We can summarize these probabilities as either breaking the formation up or down. The ascending triangle is a pattern that usually results in a breakout upside, so the upside seems more likely.

On the daily chart, over the past few days, Bitcoin price has surpassed the 20, 50, 100, and 200-day Exponential Moving Average.

image.png

Also, indicators like RSI and MACD show that there is no weakening in Bitcoin's bullish momentum.

Beyond all these technical indicators, I observe that the intraday price volatility is low. Market players are much calmer than they were a few weeks ago.

As a result, I am optimistic about Bitcoin's price.

I am not an investment advisor. You better make your investment decisions in line with your own research.

Thank you for reading.

Posted Using LeoFinance Beta



0
0
0.000
3 comments
avatar

Bitcoin is on fire 🔥

It is a perfect sign for cryptocurrencies to come back from their support levels. I have not seen the market as bullish as these days since the beginning of 2022 😄

Posted Using LeoFinance Beta

0
0
0.000