BTCUSD is performing a rally based on the bitcoin-ETF fake news, passing the 200MA en 50MA line. There was even a positive retest of the 200MA line indicating that this could now act as support. All in all BTC is looking quite bullish.Even though BTC is looking bullish at the moment, we are not out of the woods yet. The next hurdle for BTC to pass is the 31k resistance line. If BTC isn't able to cross this line, it will form a head-and-shoulders or triple-top formation, both of which are bearish.
If BTC isn't able to pass 31K we could see a correction towards the neckline around 25K (and if this breaks even further down towards 20K).
On the weekly chart we might detect a bearish divergence when looking at the RSI-indicator. While BTC is making similar highs around 30-31K, the RSI indicator is showing lower highs which could indicate a bearish divergence.
What's your take on the recent BTC rally? Is it sustainable or will it result in a bearish formation?
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.