Bitcoin (BTC) is about to make its first attempt to break the USD 57,200 resistance area. If successful, it could bring BTC back to $ 60,000 and potentially hit a new all-time high.

Bitcoin is trying to break resistance

BTC rebounded significantly on October 11, creating a large bullish candlestick that drove it into the resistance area of ​​$ 57,200. This is the 0.786 fib retracement resistance and the last horizontal resistance before it approaches the all-time high.

The fact is that BTC closed the daily candle within this resistance area. This is a bullish development that shows that the bulls are in complete control of the market.

In addition, the technical indicators have all tipped up in the daily timeframe.

First, the RSI is hovering above line 50. The intersections above and below this line are used as the basis for trend direction. A cut above this line previously caused an upward movement of almost two months.

Second, the MACD is in positive territory and increasing.

Third, the super trend line is bullish (green symbol).

BTC / USDT daily chart | Source: TradingView

Count waves

The RSI has created a potential bullish divergence. This is seen as a strong sign of the continuation of the trend. Hence, it is not surprising that BTC resumed its upward movement shortly after the incident.

BTC / USDT 6-hour chart | Source: TradingView

Wave counting also supports the continuation of the upward trend. It shows that BTC is in the fifth and final wave of an uptrend. This means that while BTC is trending upwards, it is likely to be in the last part of the upside pulse.

Wave four is triangular in shape, a common pattern for this wave. This also increases the possibility that this is the correct wavenumber.

The most likely target to act as the tip of the upward move is between $ 60,000 and $ 60,600. This target area is determined using the length of wave 1 (white) and the 0.382 Fib of waves 1-3 (black).

Note that these are short term wave counts only. Click here to learn more about long term wave counts.

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.

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