Technical/Fundamental Analysis

BITSTAMP:BTCUSD   Bitcoin / U.S. Dollar
Presented is a technical directional analysis based off the 1 hour chart with some fundamental sentiment.

While the MACD /SIGNAL have crossed and made its way up through the zero line, our MACD /SIGNAL on the four hour chart are initiating a cross right below the zero line. I mapped out a bottom trend line serving as a potential base for an ascending channel .

BTC /USD is a major psychological pair that immediately establishes Key levels once breached. Our next key level to breach for continuation is 50K with a pullback support line at about 48100.00 to stay within ascending channel . A breach of 50 K will then retest 52600.00 with a support retest of 50 K. a breach of 52600.00 will then retest our high of around 58300.00to retest for 60 K.

I am seeing a lot of traders questioning a stock market crash flashing confusion within the trading community. I strongly believe the crash we saw last year was heavily due to the uncertainty of the future of COVID. As soon as there was stimulus relief confirmation we saw likes of BTC and XAU skyrocket. Logic explains that those gains served as inflation haven for the dollar. Historically when inflation occurs we see a a spike of the dollar followed by a huge drop. We are in a different predicament this year as COVID has already been established a a relief has been talked about well before Biden's inauguration.

Furthermore, my sentiment in the the recent spike in DXY is a preparation for the stimulus which will drop DXY price allowing Buyers in BTC and XAU to load up as an inflation safe haven. It is hard to argue that shoveling out $1400 to million of Americans is a form of inflation .

As an ending statement, the Bitcoin Mempool is also is at a support are where unconfirmed transactions pile up which in turn raises thee price of Bitcoin . Hopefully my directional analysis brings us to our high for a retests in long-term continuation.

Let me know what you think and please comment with thoughts and ideas. Thank you.