Bitcoin is trading around 71,853, above 3/8 Murray, and below 4/8 Murray. We can see on the daily chart that Bitcoin is strongly overbought but there are no signs of a trend reversal. A technical correction towards 3/8 Murray at 68,750 is likely to unfold in the next hours. From this level, BTC could resume its upward cycle to reach the target of $75,000.
We could expect Bitcoin to continue its rise in the coming hours as it has strong bullish momentum. We believe that Bitcoin could face strong resistance around 4/8 Murray located at $75,000 as it is considered a key pivot point. From this level, BTC is expected to experience a strong technical correction. The price could reach 2/8 Murray at 62,500 in the coming days.
Bitcoin has been heavily overbought for several days. The eagle indicator is at the limit of the signal which makes us think of a correction for the next few days.
If this scenario occurs, BTC will likely start a fall to the psychological level of $60,000.
We should avoid selling at current price levels as BTC could continue to rise. It is better to wait for a price accumulation or consolidation around the $73,000 level. Then, we could see it as a signal to sell. However, we should be very careful because of the strong volatility in Bitcoin.
