Bitcoin (BTC) trades within the support zone of a short-term bullish pattern. Since the support area has helped price rally many times up to this point, a breakout would be the most likely scenario.
Trade range
As of early December, Bitcoin has been trading in a range of $ 46,300 to $ 51,750. It has been trading in the lower part of this range since December 30th.
Although Bitcoin fell slightly below the range support, it has not yet broken the December 17th low (red line). As long as the price can hold above this support, a rally is likely.
BTC / USDT 6-hour chart | Source: TradingView
Short term pattern
A closer look at price action reveals that BTC has been trading in a descending wedge since December 28th. This is viewed as a bullish pattern, so a breakout above it would be dramatic.
In addition, both the MACD and RSI create bullish divergences.
The next resistance is at $ 48,000 created by the 0.382 retracement FIb resistance.
BTC / USDT 6-hour chart | Source: TradingView
Long term movement
A similar outlook can also be seen in the daily timeframe. BTC broke the descending resistance line and subsequently confirmed it as support.
Although no strong upward movement has started yet, there are signs of upward trends.
Similar to the six hour timeframe, both the MACD and RSI produced significant bullish divergences (green line).
When an upward move occurs, the next resistances are found at $ 52,300 and $ 58,700. While the first level is in line with the resistance of the short-term area, a break above the area is required for BTC to reach the second.
BTC / USDT daily chart | Source: TradingView
You can see the Bitcoin price here.
Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews
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.
Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page
Market
Bitcoin Technical Analysis Jan 5
Bitcoin (BTC) trades within the support zone of a short-term bullish pattern. Since the support area has helped price rally many times up to this point, a breakout would be the most likely scenario.
Trade range
As of early December, Bitcoin has been trading in a range of $ 46,300 to $ 51,750. It has been trading in the lower part of this range since December 30th.
Although Bitcoin fell slightly below the range support, it has not yet broken the December 17th low (red line). As long as the price can hold above this support, a rally is likely.
BTC / USDT 6-hour chart | Source: TradingView
Short term pattern
A closer look at price action reveals that BTC has been trading in a descending wedge since December 28th. This is viewed as a bullish pattern, so a breakout above it would be dramatic.
In addition, both the MACD and RSI create bullish divergences.
The next resistance is at $ 48,000 created by the 0.382 retracement FIb resistance.
BTC / USDT 6-hour chart | Source: TradingView
Long term movement
A similar outlook can also be seen in the daily timeframe. BTC broke the descending resistance line and subsequently confirmed it as support.
Although no strong upward movement has started yet, there are signs of upward trends.
Similar to the six hour timeframe, both the MACD and RSI produced significant bullish divergences (green line).
When an upward move occurs, the next resistances are found at $ 52,300 and $ 58,700. While the first level is in line with the resistance of the short-term area, a break above the area is required for BTC to reach the second.
BTC / USDT daily chart | Source: TradingView
You can see the Bitcoin price here.
Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews
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.
Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page
Other Posts
Related Posts
