On the **daily timeframe**, Bitcoin is showing strong upward momentum after a significant pullback from prior levels. Let's break down the key elements:
1. **Resistance Zone**: The red zone at the top (around $68,300 - $68,700) highlights a **major resistance area**. The current price is testing this supply zone, and we can expect potential selling pressure at this level. Traders might be placing **buy stop-losses** above this resistance to catch a breakout.
2. **Fair Value Gaps (FVG)**: The chart also highlights multiple **Fair Value Gaps** (FVG): - **FVG (Daily)** and **FVG (4H)** (Green Zones) between $61,700 - $64,000 indicate potential areas where price could retrace and find support if it drops. These gaps often act as strong support or re-entry points after a bullish rally.
3. **Support Level**: A key **support** level is marked at **$61,774**, which aligns with a previous breakout zone. This is where price action could stabilize or bounce if a pullback occurs.
4. **Previous Major Level**: The blue zone at the bottom, around **$52,000 - $56,000**, is labeled as a **major support level**. This area served as strong demand in the past and could play a significant role if the price dramatically retraces.
5. **Uptrend Line**: The yellow upward sloping line shows a clear bullish trajectory in the short term. Bitcoin is moving upwards with strength, but it is essential to watch for any signs of weakness around the resistance level.
6. **Rejection or Breakout?** The key question here is whether Bitcoin can break through the $68,300 - $68,700 resistance zone. If it does, we may see a continuation of the bullish momentum. Otherwise, a rejection here could lead to a retest of the lower support zones.
---
### **Conclusion:** Bitcoin is approaching a pivotal resistance, and traders should watch for either a **breakout** or a **pullback** to the FVG and support zones below. With stop-losses potentially getting triggered above the resistance, volatility could increase in the coming sessions.
This analysis provides a concise view of potential movements while utilizing key technical concepts like resistance, support, and Fair Value Gaps (FVG).
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.