Let’s get straight into this update on BTC/USDT! If you followed my last analysis I mentioned the Battle Royale that was about to occur between BTC and the 50 EMA, 200 EMA and the top of the down trend channel. Well the good news is that BTC won! We managed to use our momentum to blast through each of these levels and breakout on top of the down trend channel. The last two days we have managed to keep outside the downtrend channel confirming the breakout which is a bullish sign for the future. It’s also worth mentioning that we tested and confirmed the 200 EMA as support yesterday.
So where to from here? Well with all this support now under us, we are currently contending with our next level of resistance which is the area between 9009 (which I previously highlighted as heavy resistance) and the 23.6% Fib level. Despite the price not moving much over the past two days, Accumulation/Distribution is climbing which is a good sign for building further momentum to break through the 9009 level. Looking at the weekly chart, we are currently forming a three outside up candle pattern which is a reliable bullish indicator. Therefore I see us breaking through this 9009 level in the coming day or two once this 2-3 day period of consolidation (consolidation post the breakthrough above the 50 EMA, 200 EMA and the downtrend channel) is completed. Once we get through the 9009 level of resistance we don’t really have a lot of the resistance until the 38.2% fib level. Therefore, as the 23.6% Fib level (9783ish) is weak; it should not hold us back at and we are highly likely to zoom our way pretty much straight to the 38.2% Fib (which is at around 11,656) to test how much resistance we see there.
Aroon up/down is further supporting this view, whereas the MACD is still trending above the signal line.
As always trade safe!
Cheers
So where to from here? Well with all this support now under us, we are currently contending with our next level of resistance which is the area between 9009 (which I previously highlighted as heavy resistance) and the 23.6% Fib level. Despite the price not moving much over the past two days, Accumulation/Distribution is climbing which is a good sign for building further momentum to break through the 9009 level. Looking at the weekly chart, we are currently forming a three outside up candle pattern which is a reliable bullish indicator. Therefore I see us breaking through this 9009 level in the coming day or two once this 2-3 day period of consolidation (consolidation post the breakthrough above the 50 EMA, 200 EMA and the downtrend channel) is completed. Once we get through the 9009 level of resistance we don’t really have a lot of the resistance until the 38.2% fib level. Therefore, as the 23.6% Fib level (9783ish) is weak; it should not hold us back at and we are highly likely to zoom our way pretty much straight to the 38.2% Fib (which is at around 11,656) to test how much resistance we see there.
Aroon up/down is further supporting this view, whereas the MACD is still trending above the signal line.
As always trade safe!
Cheers
