Bitcoin is moving in a defining zone
For many weeks now, the price of Bitcoin (BTC) has been stuck in a ranges between $33,700 and $45,000. With a price currently locked on the middle of the rowthe next few days should nevertheless be decisive.
The daily chart of Bitcoin (Daily)
Indeed, when an asset evolves flat in the middle of a range, it is necessary to wait to see if it manages to break this level, or if it is finally rejected towards its support. the BTC is currently facing the resistance what does the cloud and will therefore imperatively have to pierce it on the upside to aim for a return to the top of the range at $45,000 then hope break the triangle Daily in the direction of $55,800.
If the price confirms a rejection on the middle of the range, the support from triangle at $38,000 will be revisited, with a risk of a breakout from below and therefore a return of the price to a minimum on the $35,000 (bottom of the range), even up to thebearish target from triangle to $31,149.
? Find our guide to buy Bitcoin (BTC)
Ether must rebound
Still flat within its range, the price of Ether (ETH) is on the upper part of a triangleready for a breakout in the next few days.
Ether (ETH) h4 chart
After several weeks of lateralization, the price shows a compression of the’ETH with a volatility increasingly weak. In general, this type of configuration ends up triggering a strong movement in the direction of the break of the triangle.
Thus, it will be interesting to see in the next few days, if Ether manages to break its resistors from the top (yellow trendline + cloud), or if it is again rejected in the direction of the bottom of the triangle.
A top break of the pattern and the cloud would cause the price to return to $3,700 (bullish objective of the triangle), or even at $4,571 (range breakout objective). Conversely, the breakout of the triangle from the bottom would lead to a return to a minimum on the bottom of the range at $2,300then if the range breaks down, the downside target will be at $1,602.
In conclusion
The cryptocurrencies come to the end of their compression, inside triangular clearly visible on the graphs. In general, the breakout of a chart pattern triggers a strong volatile movement, the direction of the break will therefore soon allow us to define an objective to aim for in the medium term.
? Follow our section dedicated to technical analysis
Newsletter ?
Get a crypto news recap every Sunday ? And that’s it.
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this item. Investments related to crypto-assets are risky in nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
About the Author : Tagado
Passionate about crypto-currencies since 2017 and fervent defender of knowledge sharing, I am a Youtuber, crypto analyst and regular trader. Every week, my role is to make you aware of technical analysis by giving you my point of view on the evolution of the price of Bitcoin and Ether, using my favorite indicators such as the Ichimoku as well as chartist patterns.
All articles from Tagado.