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What is Bitcoin (BTC) Doing Right Now?
Bitcoin is currently trading around $49,000 and is looking quite bearish on the shorter timeframes. As mentioned in our previous analysis, BTC did face strong rejection just below the $51,000 mark and seems to be approaching the $47,200 mark once again. In the bigger pictures Bitcoin has been going sideways for a few days now and we can soon expect it to break out of this zone. Let’s take a look at how things are looking for Bitcoin on the 1-day timeframe.
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Analyzing the 1-Day Timeframe
If we take a look at the 1-day timeframe, we can see that Bitcoin is still trading below the crucial trendline support it lost during the recent flash crash. Once the price fell below that level we saw a major correction for Bitcoin right away.
We are expecting Bitcoin to retest this crucial support in the coming days. If the price breaks above it, Bitcoin will start gaining bullish momentum once again. But if we see another rejection further correction can be expected.
If further correction happens the level where we could find immediate support for Bitcoin will be around $44,800.
On the other hand, we can also see that the price is being squeezed for Bitcoin on a daily timeframe.
We are forming a symmetrical triangle for BTC which is a neutral pattern and can go either way. Here we can expect the price to break upwards and retest our trendline support in the coming days.
If that happens, we will have to wait and see how the price reacts to the trendline resistance. We can also expect strong resistance above the $53,000 mark.
Conclusion: What to Expect from Bitcoin (BTC) Next?
Bitcoin has been moving within a consolidation range for the past few days and we can expect a big move soon. Things are looking bearish on the shorter timeframes, but BTC can gain momentum at any time. Right now, we are expecting it to break out in the coming days and retest the trendline resistance mentioned above. We will only be placing our trade when the breakout is confirmed.
How to Trade Bitcoin (BTC)?
To understand the basics of Bitcoin trading, you can read our How To Trade Bitcoin Guide. It can prove helpful for traders who are just getting started with Bitcoin trading. You can also check out our list of top Bitcoin Exchanges To Trade With.
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