Strap in everyone. The Bitcoin price is about to hit $2600.
Bitcoin Price Technical Analysis
After breaking the $1600 resistance, the bitcoin price ran into a psychological barrier at $2000. Although traders couldn’t break that wall, the climb did create a new technical scenario that received backing from all indicators.
Rolling up Fibonacci retracement numbers, traders could take profit on the current rally. Even then, the market will remain bullish and will hold up against bearish testing at $1700, $1500, or $1400.
In the fully-bearish scenario, lower-intermediate supports exist at $1250, $1000, and $850. $600 continues to serve as the main technical floor, but it’s unsure if we will see prices that low any time soon.
The bitcoin price accomplished a pennant pattern and reached the $1750 area. This movement created a new scenario pointing to $2600 with large resistance at $2000.
According to technical indicators, traders still overbought in anticipation of higher prices as part of a continued rally. The resistance following from that overbuying can be evaluated at the $2600 goal, with volatility increasing in a zig-zag pattern following the theoretical bouncing points.
Based on current indicators, this rally could continue even in the face of profit-taking from speculators that overbought. New, Western traders entering the market would form the buying pressure to shore up the rally against profit taking.
The short-term goal stands at $2600 backed by news and fundamentals. In the case of an aggressive downward correction the main theoretical supports in the short-term are $1450 and $850.
According to Japanese Candlestick Analysis, the bitcoin price could continue rising after a brief sideways market in the short-term caused by profit taking.
What do you think will happen to the bitcoin price? Share your thoughts down below.
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This technical analysis is meant for informational purposes only. Bitsonline is not responsible for any gains or losses incurred while trading bitcoin.