Long

BTCUSD → Pre-breakdown consolidation near resistance

Updated

looks confident enough to continue its growth. The fundamental background and market expectations continue to support high interest in the flagship of the crypto market.

Bitcoin practically does not react to the news related to the Binance case, the local decline was quickly bought out and the market performs another retest of resistance, while one of the largest crypto exchanges withdraws huge money.

Bitcoin on the global chart has entered a new bullish range, the support of which is the area of 34000-36000, the target of range trading is the area of 42000-44300, then the maximum of 48234 plays a psychological role, because behind this area there is a huge pool of bearish liquidity.

In terms of technical analysis we see the formation of ascending triangle on the background of global bullish trend. The pattern is formed at the resistance of the ascending channel. Consolidation is gaining potential for the formation of the movement, if the fundamental background remains as strong in the near future, the market will try to realize the potential of the ascending triangle.

A breakout of the resistance area will bring prices to a new level and in this case it will only accelerate the growth of bitcoin value.
The breakout of the resistance of the ascending channel in the area of: 37600 - 38000 - 38500 will form the potential for growth towards 40600 and 44350.
Reasons why we expect growth to continue:

- Strong bullish trend
- Strong fundamental background
- There is no proper reaction to the retest and false breakdown of resistance, the price does not fall, but forms a local correction, within which it cannot even update the local minimum.
- Consiliation is formed and the price is pressed to the resistance.

Support levels: 35700, 35000, 34500
Resistance levels: 37500, 38000

In the future, I expect the continuation of growth and a breakthrough of resistance on the next retest. Targets are indicated on the chart

Regards R. Linda!

Note

Bitcoin is consolidating near an important level.
I think if the price slowly approaches 37800-38000, the market will make attempts to break the resistance.
Consolidation of the price above 38000 will form a bullish potential with further impulse to 40600 and to 44300

Note

Bitcoin is looking very confident to implement a resistance breakout strategy.

Resistance level: 37900 - 38000.
- A long consolidation is forming
- No deep pullbacks after a false breakout
- Pre-breakout consolidation is formed
- price continues to maximize its approach to the level, which only increases the potential for a breakout.
- strong fundamental background
- global and local bullish trend
- ascending triangle, which can be interpreted as an active price squeeze by buyers (high interest)

From here we can develop two scenarios:
- Scenario 1:
Continuation of consolidation and price approaching the level on the background of reduced volatility. A break of the 38000 level will immediately form a strong impulse. The price could go up very quickly

- Scenario 2:
If the market has not accumulated enough liquidity, the price may go lower, for example to 37476, 0.382 fibo or 0.5 fibo. After that the price will continue to rise to 38000.
A pre-breakout consolidation should form around this level, which will indicate the market's readiness for a breakout.

Potential targets: 39000, 40000, 42000, 46000

Note

Another 38K test

Trade closed: target reached

RLinda

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