Hello traders! Recently, BTCUSD experienced a steep crash. But we all know that nothing lasts forever. Today I will explain with technical analysis the status of Bitcoin, the biggest cryptocurrency in the world.
Bitcoin has been a little silent lately, but it is time that will change. Here are the points we need to know:
1. The lower band of the Moving Average Channel broken for the first time in 4 days
The MA Channel's lower band, or the 100-period average of lows, has been broken by the bulls in 4 days, or nearly 100 1-hour bars. This bullish factor gives us clues of an impending bull run. If the 100-period average of highs(green in chart) is broken, then we have more confidence of the bull run taking place. Price and time will tell.
2. Symmetric Triangle Breakout
The tiny symmetric triangle in the chart has been broken to the upside, with relatively strong volume. Twice the volume the bar before indicates that this triangle is valid, and will strengthen our chances of a bull run.
3. Fibonacci Retracement levels to watch
The 0.382 Fib level or $32.2k served as the trampoline for the price today to climb to 33k in a few hours. We may expect the price to pullback for a while to this 0.382 Fib, then we may fly. The next resistance is the 33.3k level. We may not expect a large presence of bears in the area, because of another major resistance(number 4).
4. $34k resistance level hardest barrier for the bull run
The 34k resistance(lime horizontal line in chart) has served as support and resistance all the way to the first days of 2021. We may see a large number of bears in the area. If the bulls win the battle, we may see a strong bull run all the way to 36k.
5. Retest of 30k may not take place because of the breakout of the symmetric triangle
There are already many supports above the 30k support. There is a 0.382 Fib line and a symmetric triangle for immediate support.
6. Huge purple trendline highest target
The huge purple trendline above may be touched in about 30-50 hours. Because this trendline holds 2 tops which made a panic dump, this trendline will be almost impossible to break, unless we have a big number of bulls there, which may be unlikely.
7. Looking at the bigger picture, we are in a consolidation area
Zooming out of the chart, we will notice a big consolidation. We would have to wait for a breakout to see which direction we are going.
Now, let us have a look at Bitcoin. Bullish, Bearish, or Sideways?
Daily- Sideways, we are in a consolidation
Weekly- Little Bullish
4 Hour- Slightly Bullish
1 Hour- Up Trend with a not-so-impressive look, but still good enough
Monthly- Slightly Bullish
Conclusion: I would like to say that BTCUSD is a good buy. You most likely heard the saying "buy the dip". The dip has ended, according to Technical Analysis. Bitcoin would be good crypto to buy in the short-term. Good luck!
Thank you for reading! Please like and subscribe for more detailed Technical Analysis. What do you think? Put in the comments below!
P.S what pair do you want analyzed? The pair with the most likes in the comments below will get a detailed technical analysis.
Bitcoin has been a little silent lately, but it is time that will change. Here are the points we need to know:
1. The lower band of the Moving Average Channel broken for the first time in 4 days
The MA Channel's lower band, or the 100-period average of lows, has been broken by the bulls in 4 days, or nearly 100 1-hour bars. This bullish factor gives us clues of an impending bull run. If the 100-period average of highs(green in chart) is broken, then we have more confidence of the bull run taking place. Price and time will tell.
2. Symmetric Triangle Breakout
The tiny symmetric triangle in the chart has been broken to the upside, with relatively strong volume. Twice the volume the bar before indicates that this triangle is valid, and will strengthen our chances of a bull run.
3. Fibonacci Retracement levels to watch
The 0.382 Fib level or $32.2k served as the trampoline for the price today to climb to 33k in a few hours. We may expect the price to pullback for a while to this 0.382 Fib, then we may fly. The next resistance is the 33.3k level. We may not expect a large presence of bears in the area, because of another major resistance(number 4).
4. $34k resistance level hardest barrier for the bull run
The 34k resistance(lime horizontal line in chart) has served as support and resistance all the way to the first days of 2021. We may see a large number of bears in the area. If the bulls win the battle, we may see a strong bull run all the way to 36k.
5. Retest of 30k may not take place because of the breakout of the symmetric triangle
There are already many supports above the 30k support. There is a 0.382 Fib line and a symmetric triangle for immediate support.
6. Huge purple trendline highest target
The huge purple trendline above may be touched in about 30-50 hours. Because this trendline holds 2 tops which made a panic dump, this trendline will be almost impossible to break, unless we have a big number of bulls there, which may be unlikely.
7. Looking at the bigger picture, we are in a consolidation area
Zooming out of the chart, we will notice a big consolidation. We would have to wait for a breakout to see which direction we are going.
Now, let us have a look at Bitcoin. Bullish, Bearish, or Sideways?
Daily- Sideways, we are in a consolidation
Weekly- Little Bullish
4 Hour- Slightly Bullish
1 Hour- Up Trend with a not-so-impressive look, but still good enough
Monthly- Slightly Bullish
Conclusion: I would like to say that BTCUSD is a good buy. You most likely heard the saying "buy the dip". The dip has ended, according to Technical Analysis. Bitcoin would be good crypto to buy in the short-term. Good luck!
Thank you for reading! Please like and subscribe for more detailed Technical Analysis. What do you think? Put in the comments below!
P.S what pair do you want analyzed? The pair with the most likes in the comments below will get a detailed technical analysis.
