Bitcoin (BTC) bounce in play – how high can it go?

As an experienced analyst, I have closely watched Bitcoin’s (BTC) price movements over the past few weeks. The recent bounce from the local low of $56,600 and the subsequent break above the downtrend at $64,000 is a positive development for bullish traders. If this trend continues, we could see BTC testing the resistance at $67,000 in the near term.

As a researcher studying the cryptocurrency market, I’ve noticed that Bitcoin has managed to surpass the downtrend line and is attempting to breach the resistance at $64,000. If this current rebound persists and a successful breakthrough occurs, it’s plausible for Bitcoin’s price to advance further towards $67,000.

The potential threat of Bitcoin ($BTC) deviating from its bull market trajectory seems to have lessened, momentarily. A possible uptrend from the recent nadir at $56,600 is underway and it’s uncertain if this will lead to revisiting previous highs, entering a prolonged period of sideways movement, or merely a brief recovery before experiencing another downturn over an extended timeframe.

$63,000 is new support

As a researcher observing the short-term price action of the market, I notice that the support level at $63,000 remains robust, and a revisit of the downtrend line could signal further upward momentum towards the resistance at $67,000.

$66,000 resistance may be difficult to break

On a weekly basis, Bitcoin’s price has been clinging to its support at $63,000. The significant wick extending down to $56,800 reinforces this level of support. Meanwhile, the resistance around $66,000 is noteworthy as it corresponds to the weekly candle close marking the peak of the 2021 bull market, making a break above it challenging.

Incredibly bearish candle prints on 2-month time frame

As a crypto investor, I’ve noticed that the outlook for Bitcoin’s ($BTC) price isn’t promising when looking at the 2-month chart. The most recent 2-month candlestick closed below the $61,000 resistance level, which is concerning. Moreover, this candle displayed a large wick above the resistance, indicating significant selling pressure that caused the price to plummet back under it.

As a crypto investor reflecting on the 2020-2021 bull market, I’ve noticed that the same resistance levels were in play back then. Spotting a candle over the last two months resembling a gravestone doji is not an encouraging sign for what lies ahead.

Despite the current short-term rally in the weekly chart, it remains intriguing to observe how far the price may climb before or if this ominous candlestick pattern exerts a significant influence over the ongoing bull market.

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2024-05-07 13:13