Technical outlook:
Bitcoin seems to have carved a meaningful higher low around the $38,200 mark on Tuesday. The crypto has barely printed below its previous low, which is seen around the $38,500 level. The bulls have managed to push prices higher through $40,800 thereafter indicating a potential trend reversal. Ideally, prices should stay above the $38,000 mark going forward.
Bitcoin is facing immediate price resistance around the $43,000 level and a break higher will confirm that a bottom is in place around $38,000 and bulls are back in control. The wave structure also reveals that the counter-trend is now possible into its last leg rally, which could lead through the $50,000-55,000 zone.
Bitcoin had dropped between $69,000 and $33,000 earlier, carving a meaningful downswing as seen on the daily chart. The crypto has been unfolding a corrective rally since $33,000 and is looking to terminate around the $50,000-55,000 range. Also, note that $55.000 is close to the Fibonacci 0.618 retracement of the above downswing.
Trading plan:
Potential rally through $50,000-55,000 zone against $33,000
Good luck!
