Technical outlook:
Bitcoin might be preparing to rally after having tested its range support around $45,700 mark on Tuesday. The crypto is seen to be trading comfortable close to $46,800 at the time of writing could be targeting $48,000, which is resistance in smaller timeframes. A break higher would then expose $52,000 interim resistance and $60,000 respectively.
Bitcoin had earlier found support around $42,300, which is just below the Fibonacci 0.618 retracement of the entire rally between $26,800 and $67,000 levels respectively. Ideally, prices should rally towards $70,000 at least to complete the structure. The Fibonacci extensions are pointing towards $78,000 and higher for the next cycle (not seen here).
Bitcoin faces immediate price resistance around $60,000, while support is strong at $40,000 on the daily chart. A break above $60,000 will open the door to push through $70,000 mark and higher. Only a break below $40,000 will destroy the above bullish scenario and will bring back bears into the market.
Trading plan:
Potential rally through $70,000 against $40,000.
Good luck!
