The current H4 chart structure shows that price has recently broken out of a descending channel and is now trading inside a potential ascending channel. This breakout indicates a possible shift in market sentiment from bearish to bullish.
Key Observations:
Downtrend Break: The previous bearish channel (highlighted in yellow) has been broken to the upside, suggesting that selling pressure has weakened.
New Bullish Channel: Price is now respecting a newly formed upward-sloping channel, indicating buyers are gaining control.
Support/Resistance Levels:
Forecast Scenario:
Bullish Case: If price holds above the $3,287 support and stays inside the bullish channel, a retest of the $3,430 resistance is likely. A break above this level could open the path toward the ATH at $3,500.
Bearish Case: If price fails to hold the current level and breaks back below $3,287, a move toward $3,114 or even $3,057 becomes probable. A breakdown below these levels would invalidate the bullish channel and could resume the downtrend.
Conclusion:
The market currently shows early bullish momentum, but confirmation above $3,430 is required for continuation. Traders should watch price behavior closely around support levels to confirm whether buyers can sustain this upward pressure.
Key Observations:
Downtrend Break: The previous bearish channel (highlighted in yellow) has been broken to the upside, suggesting that selling pressure has weakened.
New Bullish Channel: Price is now respecting a newly formed upward-sloping channel, indicating buyers are gaining control.
Support/Resistance Levels:
- Strong resistance at $3,430 and the ATH (All-Time High) at $3,500.10.
- Immediate support near $3,287, followed by a stronger zone at $3,114.
- Below that, key levels include $3,057 and $2,965.
Forecast Scenario:
Bullish Case: If price holds above the $3,287 support and stays inside the bullish channel, a retest of the $3,430 resistance is likely. A break above this level could open the path toward the ATH at $3,500.
Bearish Case: If price fails to hold the current level and breaks back below $3,287, a move toward $3,114 or even $3,057 becomes probable. A breakdown below these levels would invalidate the bullish channel and could resume the downtrend.
Conclusion:
The market currently shows early bullish momentum, but confirmation above $3,430 is required for continuation. Traders should watch price behavior closely around support levels to confirm whether buyers can sustain this upward pressure.
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.
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.