Bitcoin (BTC) rose on September 30, creating a large bullish candle, and hit the resistance area of ​​$ 44,000.

It is also approaching the resistance line of a parallel channel and is about to make another breakout attempt.

Monthly outlook

BTC fell slightly in September. With the difference between the opening and closing prices of USD 3,400.

Despite the decline, the technical indicators have not yet fallen. The RSI is still above 50 and the MACD is in positive territory. However, both are showing signs of losing momentum.

Also, the top and bottom of the bearish candle are still higher than the top and bottom of the previous bullish candle and the supertrendline is bullish.

Therefore, the monthly bias remains bullish, although some weakness is developing.

BTC / USDT monthly chart | Source: Tradingview

BTC is approaching resistance

On September 30th, BTC created a bullish candle and moved towards the USD 44,000 resistance area. This area previously served as support in August and early September, a rebound from that would be a significant bullish move.

Yesterday the MACD also produced a higher momentum bar (green symbol), a sign that selling pressure has eased. However, this indicator is still in negative territory and the RSI is below the 50 level.

The next area of ​​support is at $ 38,000.

BTC / USDT daily chart | Source: Tradingview

Future movement

The six-hour chart shows BTC trading within a descending parallel channel. After the bounce off the midline and the 0.5 Fib retracement support (green circle) it has started an uptrend towards the resistance line of the channel.

A breakout can push the price to $ 46,300 (0.5 fib retracement resistance (white)). It can reach the level of $ 47,850. This is the 0.618 fib retracement level and the horizontal area of ​​resistance.

BTC / USDT 6-hour chart | Source: Tradingview

Count waves

The most likely number of waves showing a decline that began on September 7th is an ABC correction completed (orange). The downward movement produced wave A: C in a ratio of 1: 1.

However, the (highlighted) jump is not the same as the start of a new pulse. Hence, it is likely that BTC is stuck in a complex corrective structure and is currently in wave X (black).

The area with the most fib confluence resistance is $ 46,350. This is the 0.5 fib retracement level of the entire upward move and gives the short term waves A: C a 1: 1 ratio.

After that, BTC can initiate another downward movement.

BTC / USDT 6-hour chart | Source: Tradingview

You can see the Bitcoin price here.

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

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