Technical outlook:
Bitcoin rallied on Wednesday post FOMC through $40,000 after testing lows around the $37,600 levels. The crypto has managed to produce an Engulfing Bullish candlestick pattern right at the channel support as expected. Bulls are now looking poised to remain in control and push through the $50,000-55,000 zone in the next few trading sessions.
Bitcoin is facing immediate price resistance around $43,000, followed by $48,000 while support is now looking strong around $37,500, followed by $34,000 respectively. A break above $43,000 will confirm that bulls are back in control and the near-term trend is bullish towards $50,000 at least. On the flip side, a slide below $34,000 will expose the $29,000 low.
A high probability remains for a continuous rally from current levels as bulls prepare to take on $43,000 next. Bitcoin has been carving a potential corrective wave since the $33,000 lows and could be into the third wave now. If correct, bulls will now remain poised to push through the $50,000-55,000 mark going forward.
Trading plan:
Potential rally through $50,000-55,000 mark against $33,000
Good luck!
