Bitcoin (BTC) confidently heads for the next resistance

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After failing to do so for two weeks, Bitcoin (BTC) finally broke through the resistance zone of $ 51,200.

Technical indicators turn bullish and BTC gradually rises towards the next resistance area at $ 57,250.

BTC bursts

On August 23, BTC hit a high of $ 50,500. However, it was rejected by the 0.618 Fib retracement resistance level and created a shooting star candlestick.

After consolidating for nine days, BTC began a bullish move and moved above that area on September 5th. So far, it peaked at $ 52,920 on September 7.

Technical indicators are bullish. While the RSI previously generated considerable bearish divergence, its trendline is now broken. In addition, the MACD created two successive more dynamic bars.

The closest resistance is found at $ 57,250. This is both a horizontal resistance area and the 0.786 Fib retracement resistance level.

Future movement

A look at the lower timeframes shows that the $ 50,500 area is now likely to act as support as it acted as resistance before the breakout.

Similar to the daily calendar, the six hour chart shows a break out of the bearish divergence trendline, this time in the MACD instead of the RSI. The RSI has just crossed above 70 which can be seen as another sign of strength.

Number of waves

The number of waves suggests that BTC is in the fifth wave of a bullish pulse (orange). The most likely target for the top of the bullish movement is near $ 57,100. This target is a confluence of Fib levels which include:

1.61 first wave length (black) 4.21 first wave extension (orange) 0.786 Fib retracement resistance level (white)

In analyzing the wave count of BeInCryptos, we also outlined a potential corrective number. However, the short term movement would be the same as the bullish count that is shown.

For the previous analysis of BeInCryptos Bitcoin (BTC), click here.

Disclaimer All information on our website is posted in good faith and for general information purposes only. Any action that the reader takes on the information found on our website is strictly at his own risk.

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