Technical outlook:
Bitcoin has finally bounced off and produced a Morning Star candlestick pattern after dropping through $39,200 on Wednesday. This has been in line with our projection as bulls now prepare to be back in control and hold them above the $34,000 mark. If the above holds well, prices could still reach the $50,000-55,000 zone going forward.
Bitcoin has been unfolding a corrective wave since $33,000 lows and the counter trend is taking a complex shape. It might have terminated its second wave around $39,200 mark and could resume higher to unfold and terminate its third wave to complete the structure. Prices could turn lower thereafter and drag below $33,000 mark.
Bitcoin has produced a meaningful downswing between $69,000 and $33,000 levels earlier. The crypto is now retracing and could reach up to fibonacci 0.618 retracement of the above drop seen close to $55,000 mark. Bears will remain inclined to be back in control thereafter and only a push above $61,000 level will delay matters further.
Trading plan:
Potential rally to $50,000 aginst $33,000. Then lower again.
Good luck!
