Bitcoin price has been quite stagnant the last 48 hours. What is going on?
Potential breakout to the upside
Chart #1: BTCUSD / BITFINEX / 4H https://www.tradingview.com/x/0nYNYGEt/
Bitcoin (BTC) has not been showing much movement recently. There is a clear resistance to the upside around 8164 USD range. But judging by the trend line that formed (black dotted line). I think BTC will breakout to the upside. How much? At least up to the purple bearish trend line. I see heavy resistance there since the purple bearish trend line is MASSIVE. Breaking above that would mean a true reversal. Perhaps BTC will hit it then correct itself back down to now-turned-support level of around 8164 USD. But with current shift in general sentiment perhaps we won't even see a heavy correction at all and pass right through!
How far are we going up?
Chart #2: BTCUSD / BITFINEX / 4H https://www.tradingview.com/x/0nYNYGEt/
Looking at the Ichimoku cloud indicator, in addition to the purple bearish trend line, I think Kijun Sen line right above it @ around 9106 USD will act as another resistance. The Kijun Sen line acted so 3 previous times in the past (red circles). So I see the range between 8850-9100 USD to be a formidable resistance. The correction perhaps might follow along the purple bearish line until we enter the cloud. If BTC actually manages to enter the cloud, I think edge-to-edge price action is very likely. The cloud is absolutely huge! Almost 4000+ USD difference! Obviously I will look at it more closely when BTC gets there but the future is bright! Let's first meet or break the purple bearish trend line first.
Have a good weekend!
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Up probably.