Bitcoin (BTC) and ether (ETH) prices have risen this week. Hope for a short-term bullish recovery is back but after such a strong rally, what are the different scenarios to watch? The high point of this new technical analysis of the cryptocurrency market.
Bitcoin (BTC) is facing a huge wall of resistance
After developing in a stable manner for long weeks, Bitcoin (BTC) price rose and regained +12.5% of its value in one week. Now, its price is trying to break a major resistance area since it was the $19,000/$20,000 area that provided support during the long-term period from June to November 2022.
Figure 1 – Daily Bitcoin price chart
Although this increase is encouraging and approaches key levels, Bitcoin is still in a downtrend With ever low peaks. We see that too The price stumbled surgically on the daily trend line and also at 0.618 Fibonacci level.
Furthermore it, This $19,000 area is just below the old six-month range. As a reminder, any broken support will become resistance, so the price is likely to see rejection in the next few days and be correct, at least temporarily.
If the price were to confirm a re-consolidation of the range by performing, say, a pullback at the top of the ichomoku cloud, then there is a strong possibility that the price will then seek the Weekly Kijun at 20360, or even the middle of the daily range at $21,500. This rally must be done in stages to consolidate the various pillars and to be able to accumulate as much liquidity as possible with the aim of breaking this huge wall of resistance.
In the opposite case, if the price fails to stay within the range, it should return to test its support at $15,800. At that time, it will be necessary to maintain this level, otherwise there will be a strong risk of seeing the price go down The still active Bear Flag target is $14,300.
👉 Buy cryptocurrencies with the eToro reference broker
The platform that simplifies trading
Buy cryptocurrency in minutes
Bitcoin (BTC) reversal pattern in h4?
By connecting the local peaks and troughs together, BTC price (in a lower time frame) is showing us a price that is increasing in volatility within a chart pattern called the ‘Broadening Rising Wedge’. This type of pattern is known to break from the bottom, so it is advised to stay alert as it coincides with the very important resistance level marked by the old daily range.
The odds of this pattern tend to push the price towards a breakout from below towards $14,500. So the question is, will the buyers be able to beat the odds and send the price back above $20,000 with that target at $21,350? I will answer in the next few days.
👉 Find a selection of the best sites to buy Bitcoin
Stock exchange No. 1 in the world – organized in France
10% off your fees with the code SVULQ98B 🔥
Ether (ETH) must break its h4 resistance
Regarding the price of ether (ETH), It is moving in an ascending channel and is now below the resistance level. It will be interesting to monitor this asset over the next few days to see if the price is able to break this pattern from above, or if we are at the top of the local market again.
Figure 3 – Ether price chart (H4)
Here, the breakout target will be around $1,631. However, the pattern is somewhat bearish on Bitcoin, Watch out that it does not contain a rejection or else Ether should follow towards $1050.
👉 Find our illustrated guide to buying Ether
Stock exchange No. 1 in the world – organized in France
binance
– 10% off fees with code SVULQ98B 🔥
The conclusion of this technical analysis
Bitcoin and Ether stops under major resistance. We will have to break it to consider a new bullish impulse in the coming days, otherwise pay attention to the bearish targets that might make us quickly lose this good progress in the past few days.
💡 Access our premium collection of Vincent Jane And our experts in fundamental and on-chain analysis. They give you daily information and exclusive analytics on the crypto market to improve your knowledge!
Get ahead in the world of cryptocurrency with the experts at Cryptoast 📘
Chart source: TradingView
Newsletter 🍞
Get a roundup of cryptocurrency news every Monday via email 👌
What you need to know about affiliate links. This page displays assets, products or services related to investments. Some of the links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to provide you with original and useful content. There is no impact on you and you can even get rewarded using our links.
Investing in cryptocurrencies is very risky. Cryptoast is not responsible for the quality of products or services offered on this page and cannot be held responsible, directly or indirectly, for any damage or loss resulting from the use of a good or service mentioned in this article. Crypto assets investments are of a risky nature, readers should do their own research before taking any action and only invest within their financial capabilities. This article does not constitute investment advice.
AMF Recommendations. There is no guaranteed high return, a product with a potentially high return carries high risk. This risk must be in line with your project, your investment horizon, and your ability to lose part of these savings. Do not invest if you are not prepared to lose all or part of your capital.
To move forward, read our Financial Status, Media Transparency, and Legal Notices pages.
Passionate about cryptocurrency since 2017 and a strong advocate for sharing knowledge, I am a Youtuber, Crypto Analyst and Regular Trader. My role each week is to get you familiar with technical analysis by giving you my view on the price development of bitcoin and ether, using my favorite indicators like ichimoku and chart patterns.
Commentaires
Enregistrer un commentaire