Technical outlook:
Bitcoin is pulling back a bit after printing intraday highs around $41,500 levels on Thursday. If the sideways movement continues from here, the price could slip back to $37,000-38,000 levels in the next trading sessions. On the flip side, a break above $42,500 will confirm that the crypto is out of the sideways range. It will rise higher through the $46,000 and $50,000 mark.
Bitcoin is probably into the last leg of its corrective phase, which should accelerate towards the $50,000 mark. Bears will remain poised to be back in control amid a strong resistance level around $48,000-50,000. Please note it is also close to the Fibonacci0.618 retracement of the earlier drop between $69,000 and $33,000 respectively.
Bitcoin is also possibly carving a potential right shoulder around $50,000-55,000 before resuming lower again to complete a Head and Shoulder reversal as projected on the above chart. Only a drop below $33,000 will confirm that the price is declining to $27,700.
Trading plan:
Potential rally through $50,000 against $33,000
Good luck!
