BTC Starts Short-Term Rebound But Finds Resistance At $35K
- Bitcoin is up by a small 4.4% today as it currently battles with resistance around 35K.
- The number one ranked cryptocurrency put in the first “Three White Soldiers” pattern since the May capitulation - three consecutive bullish candles.
- Despite the rebound, BTC still has very strong resistance ahead at
42K
Bitcoin is up by 4.4% today as the cryptocurrency finds resistance at $35,000. The cryptocurrency had found 4HR support at $31,155 (.886 Fib Retracement) earlier in the week and has since started a short-term rebound toward 35K (bearish .5 Fib Retracement).
What has been going on?
BTC printed three consecutive green candles for the first time since the mid-May market capitulation on the daily chart. Although this is not a strong bullish signal, it could be a sign that the worst part of the sell-off is over.
Looking at the 4HR chart posted, we can clearly see that BTC did not close a 4HR Candle beneath the support at $31,155, provided by a .886 Fib Retracement. It did spike as low as $28,800 but quickly rebounded to close above $31,155.
Since the sharp rebound, BTC has started somewhat of a bullish run higher. It broke above the descending price channel we have been following and eventually broke $34,000 today. After breaking $34,000, BTC continued higher until reaching resistance at $35,000 (bearish .5 Fib Retracement).
Bitcoin price short-term prediction: NEUTRAL
Bitcoin still remains neutral in the short-term and would have to break above resistance at $42,000 to start to turn bullish again. On the other side, a closing daily candle beneath $30,000 would be required to turn the market bearish.
If the sellers do push lower, the first support lies at $34,000 (rising trend line). Beneath this, support lies at $33,000 (short term .382 Fib Retracement), $31,200 (short term .5 Fib Retracement), $32,000, and $31,155 (.886 Fib Retracement).
Added support is found at $30,000 and $28,000.
Where Is The Resistance Toward The Upside?
On the other side, the first resistance lies at $35,000 (short term bearish .5 Fib Retracement). This is followed by resistance at $36,000, $36,515 (bearish .618 Fib Retracemetn), $37,000, $38,000, and $38,620 (bearish .786 Fib Retracement).
Above this, added resistance is found at $40,000, $40,558 (long term bearish .382 Fib Retracement), and $42,000.
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