BTCUSD | Road to the Moon or another fake pump?

Bitcoin price action in January was affected by CME futures contracts expiration. According to statistic there were $7,306,738 of (12.43%) Longs and $51,487,514 (87.57%) of Short liquidations. Old contracts were closed and new were released so is the situation stable now? Unfortunately it is not! Let's study short and middle term timeframes:

At the short-term timeframe chart which is base for this analysis we can see that price action repeats 5 Elliot impulse waves -> ABC corrective waves -> Flag and 6-7 days of consolidation

The price action touched the lower supportive trend line and broke through Ichimoku green span today. It was a confirmation of upcoming impulse growth until the resistance of RSI band which is located at $10 283. The scenario was confirmed once Bitcoin broke through the band and went down. The most important that the next candle closed above the band and was green thus Bitcoin can consolidate at this level and start lateral trend

Summary of short-term forecast:
Bitcoin's price should have a gradual rise about +1-2% to an area around $10 425 and afterwards will fluctuate in the range between $10 325 - $10 550


Let's switch to analysis of middle-term timeframe chart which is attached below:

According to technical analysis and indicators value there is a high probability of upcoming decrease. The scenario is confirmed with studying of triangle pattern. It is drawn at the chart you can see it was tested and confirmed numerous times.

Price action is going to meet a strong resistance of $10 600 level soon. it should happen within 1-2 weeks. There is a small chance the resistance will be broken because formation has not been finished yet. There could happen a fake breakthrough but do no let whales to trick you

Middle-term summary:
Once the rejection from the mentioned resistance level will be confirmed Bitcoin's price will sharply go down until support level.

The chance of breakthrough is very small. About two months left until triangle pattern finishes, afterwards the road to the Moon for Bitcoin is clear and we will witness a new rally

Trade active:

The price action was upward during the night. Bitcoin reached $10 483 level. As we said in the short-term scenario there is going to be gradual growth by 1-2% from the moment we share analysis. Actual figure is +1.9% during the night.

Bitcoin has still potential to reach $10 500- $10 550 area in the short-term. Reaching of this zone will open a way to test $10 600 the same day. Up from the resistance we expect a drop down and our middle-term analysis will take power


Stay tuned and best regards,
SkyRock Signals team

Trade active:

The price action accurately followed our short-term analysis by making an upward movement right to $10 500 level (+1.9%). This level was indicated in the analysis we published 2 days ago. We reported about it yesterday and mentioned that middle-term part of the analysis is in power now.

Further Bitcoin's price met intersectional points of inner and major triangles which represent a strong resistance. Upward breakthrough was rejected as it was said in the first analysis the triangles are not finished yet and there is a very little chance the price action manages to breakout now. Following the forecast the price sharply went down to $10 110 level where it is located now.

Stay tuned and be safe!