Bitcoin (BTC) has made three attempts at breaking out from a descending resistance line. After bouncing at a short-term support level, it is making another attempt at breaking out.
BTC has been increasing since reaching a low of $17,622 on June 18. The next day, it created a bullish engulfing candlestick and proceeded to reach a high of $21,723 on June 21.
While this created a long upper wick (red icon) and a retracement, the price seemingly began another upward movement on June 23.
If the increase continues, the closest resistance would be at $23,000. This is the 0.382 Fib retracement resistance level and also a horizontal resistance area.
Short-term movement
The six-hour chart is more bullish than the daily, since it shows that the six-hour RSI has generated bullish divergence. Afterward, it moved above the high of the divergences, granting more legitimacy to the divergence.
The price is also following a descending resistance line and has so far made three breakout attempts.
A breakout from the resistance line would also cause a RSI movement above 50, confirming the reversal and taking the price towards $23,000.
The two-hour chart shows that the price has bounced at the 0.5 Fib retracement level at $19,700 (green circle) and is in the process of making its first higher low.
BTC wave count analysis
The ongoing increase since June 18 is a five wave structure (black). While it is not yet certain if it is part of an A-B-C structure or new bullish reversal, another upward movement would be expected.
The long-term wave count also indicates that a bottom is close, supporting the possibility that the increase is a new bullish impulse rather than it being an A-B-C structure.
For Be[in]Crypto’s previous bitcoin (BTC) analysis, click here
The post Bitcoin (BTC) Creates Temporary Higher Low At $19,700 appeared first on BeInCrypto.
- "
- 000
- a
- Another
- AREA
- began
- being
- Bitcoin
- Black
- breakout
- BTC
- Bullish
- Cause
- certain
- Circle
- continues
- created
- creates
- daily
- day
- expected
- First
- following
- from
- generated
- Green
- High
- higher
- Horizontal
- HTTPS
- ICON
- Increase
- increasing
- IT
- legitimacy
- Level
- Line
- Long
- made
- Making
- more
- movement
- next
- ongoing
- part
- possibility
- previous
- price
- process
- reach
- short-term
- since
- So
- support
- support level
- Supporting
- taking
- temporary
- The
- three
- towards
- Wave
- while
- would