Yesterday, Bitcoin managed to break through resistance at 45 850 USD. By doing so, BTC validated the bullish consensus for itself. Now, we will observe price action very closely and we will watch out for any possible retracement below short-term support. Such retracement would invalidate the bullish breakout. However, until such an occurrence, we are turning bullish on BTCUSD. Our view is supported by a combination of bullish technical and fundamental factors. Therefore, we would like to set a new price target for BTCUSD to 50 000 USD.
Illustration 1.01
The chart above shows the bullish breakout above 45 850 USD. This breakout validated the bullish consensus for Bitcoin. Currently, 45 850 USD price level acts as short-term support.
Technical analysis - daily time frame
RSI, MACD, and Stochastic are all bullish. DM+ and DM- show the presence of the bullish trend. Meanwhile, ADX continues to increase which suggests the bullish trend is gaining strength. Overall, the daily time frame is bullish.
Technical analysis - weekly time frame
RSI and Stochastic are bullish. MACD is due to perform a bullish crossover above 0 points, which would improve the picture for BTCUSD even more. DM+ and DM- performed a bullish crossover recently. ADX remains relatively low which suggests that no trend is present. Overall, the weekly time frame is bullish, however, it lacks any significant trend.
Support and resistance
Please feel free to express your own ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as a basis for taking any trade action by an individual investor. Your own due diligence is highly advised before entering a trade.
Illustration 1.01
Technical analysis - daily time frame
RSI, MACD, and Stochastic are all bullish. DM+ and DM- show the presence of the bullish trend. Meanwhile, ADX continues to increase which suggests the bullish trend is gaining strength. Overall, the daily time frame is bullish.
Technical analysis - weekly time frame
RSI and Stochastic are bullish. MACD is due to perform a bullish crossover above 0 points, which would improve the picture for BTCUSD even more. DM+ and DM- performed a bullish crossover recently. ADX remains relatively low which suggests that no trend is present. Overall, the weekly time frame is bullish, however, it lacks any significant trend.
Support and resistance
Please feel free to express your own ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as a basis for taking any trade action by an individual investor. Your own due diligence is highly advised before entering a trade.
