Bitcoin To $100,000 In 365 Days & WHY! February 2021 Price Prediction & News Analysis

Contents

Bitcoin: how long will the rally last
CONTENT

  • Bitcoin Exceeds 200-Day Moving Average.

  • Resistance levels pass at $ 9400 and $ 10600.

  • BTC is in a long-term symmetrical triangle.

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On April 29, Bitcoin formed a powerful bullish engulfing candlestick pattern, whose body at the close was over $ 1000. On the way up, the price broke several resistance levels at once.

Bullish breakout

On April 29, as a result of the formation of a bullish candlestick engulfing pattern, Bitcoin exceeded the 200-day moving average. This is a bullish signal suggesting a breakout of important resistance, but it is important to note that this breakout has occurred three times in the past year, and each time the price subsequently pulled back down..

At the same time, the breakthrough occurred at very high trading volumes, which was not the case in previous cases..

There are two resistance levels above the current price – $ 9400 and $ 10,600. The quotes tried to test the first resistance today and rolled back, returning under the $ 9000 mark. The price has not risen above the second level since September last year.

Long-term symmetrical triangle

On the weekly chart, Bitcoin has been in a large symmetrical triangle since hitting an all-time high in December 2018. At the time of this writing, the price has moved away from the resistance line of this pattern.

Bitcoin: how long will the rally last

It is also important to note that the $ 9,500- $ 10,000 area serves as a strong resistance, where previous rallies have repeatedly faded..

If BTC fails to break through this area, it will most likely return to the 200-week moving average, which passes at around $ 6,000..

Meanwhile, wave analysis indicates a bullish scenario based on the waves shown in red on the chart below.

Bitcoin: how long will the rally last

Starting in December 2017, the price completed the A-B-C retracement, finding the bottom in December 2018. The price started a new five-wave formation and is now in the third wave stage.

The bearish variant on the chart is marked in black and shows that the BTC price is still in the a-b-c-d-e correction phase, which is common in a symmetrical triangle.

Bitcoin: how long will the rally last

The continuation of this formation involves reaching the resistance line, followed by a return to support and a bullish breakout eventually..

In any case, the probability is high that the cryptocurrency will not return to the base formed on March 13.

So, Bitcoin rose noticeably the day before and continued to rise on Thursday, although after colliding with resistance it returned to the opening levels. If the rally resumes and an important resistance breaks out, the price may continue to rise to $ 13,000. If the bullish breakout fails, a fall towards the $ 6,000 mark is expected..

The previous analysis of bitcoin can be read here.

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