This Bitcoin (BTC) price resistance level may determine the trend.
The price of Bitcoin (BTC) has endured a roller-coaster week that started with a sharp decline but was followed by a bumpy ride.
It remains to be seen whether BTC will close the ninth consecutive bullish candlestick or if the positive trend is interrupted.
Could Bitcoin Close Above Long-Term Resistance?
The technical analysis of the weekly time frame shows that the price of BTC has increased rapidly since October. During the rally, the price formed eight consecutive bullish weekly candles. This resulted in an annual increase of $44,700 last week.
Bitcoin price has been pushed higher above key Fibonacci and horizontal resistance levels.
As Bitcoin started to fall this week, it regained its footing and nearly reversed all of its losses. Therefore, it remains to be seen whether this week's candlestick is bullish or bearish (red icon).
Market traders use Relative Strength Index (RSI) as a momentum indicator to identify overbought or oversold conditions and decide whether to accumulate or sell the asset.
A reading above 50 and an upward trend indicates that the bulls still have an advantage. Readings below 50 indicate the opposite. RSI is rising and above 50 but has reached overbought territory.
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What do analysts say?
Cryptocurrency traders and analysts at X are bullish on the short-term BTC trend.
Shardb is bullish because a short-term triple-bottom pattern leads to a current uptrend.
TheScalpingPro offers two scenarios for the future price:
There are two possible scenarios:
The price will continue to rise and reach as high as $48,000 before experiencing a deeper retracement to the lower range. (false statement above middle range + retest of fib 0.618)
The price has risen in the mid-range domestically and will begin to drop to $35,000 before the next game. (Up to $35K monthly support from the actual one will strengthen here before many attempts) Whatever the case, the general idea is bullish, any supports are buying opportunities.
Finally, MooreCryptoNL is bullish due to the number of waves, which suggests that a new yearly high may be on the way.
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BTC Price Prediction: What is the direction of the next move?
Technical analysts use Elliott Wave theory to identify recurring long-term price patterns and gain insight into investor psychology, helping to determine trend directions.
According to the Elliott Wave Count, Bitcoin price is approaching the top of wave three in a five-wave uptrend (white). Specifically, wave three is extended, with subwaves outlined in black.
As a result of this count, the highest expected target for Wave 3 is $47,600, representing an 11% increase from the current price. The target is calculated by combining the length of sub-waves one and three.
Next, the price of Bitcoin may begin a correction wave four. A bearish divergence in the RSI (highlighted in green) suggests that the uptrend is nearing an end.
Despite the high Bitcoin price forecast, closing below the breakout level (red line) at $38,000 indicates the start of wave four. In such a case, the price of BTC can decrease by 22% to reach the support near $33,000.
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Disclaimer
In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be construed as financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions.
