FX.co ★ #Bitcoin chart analysis

Trading instrument Bitcoin - D1 chart. The overall trend here can be described as neutral. The wave structure is unfolding upward. The MACD indicator is in the upper buying zone, above its signal line. Earlier a very ambiguous situation developed. The price was squeezed between levels. When previously rising from the lows it reached the area of the horizontal resistance level 65960. It slightly broke above it, which is clearly a higher-level tolerance. There was an opportunity for a decline here: the level, and the CCI indicator was ready to exit downward from the upper overbought zone. Moreover, on that indicator you can see a bearish convergence — a strong sell signal. At the support level it was a solid signal. Some decline occurred, but at the same time there was a support level below at 63438. This is a mirror level at the edge of the decline, and as is known such places are very strong, so at that time there was a contradiction. I thought that the price might pause around this level and a battle between buyers and sellers would unfold. Most likely in the long term Bitcoin will resume its growth. However, it has a habit of moving sideways for a very long time with wide swings. You can sit in longs for months until it produces a new directional upward move. But it was clear that the US dollar dominated the market overall and this trend affected this instrument as well. As a result, the price was pushed below the low. At the same time, a bullish divergence formed on the MACD indicator, a very decent signal for a rise. In addition, as confirmation there was a reversal pattern: a falling wedge. A mirror level at 60752 was formed below; the price tested its area from above accounting for tolerance and attempted to rise. For a long time the price traded in ranges at the bottom, for several weeks, not daring to develop the growth that was clearly maturing. In the end, it shot up quite considerably over several days, then retraced somewhat downwards and became stuck solidly. I expected the price to strive to retest the level 82008. And as you can see, a significant rise happened, the breakout above the top occurred. The question is whether it will continue to develop. Behind the top there is a potential reversal zone, and a divergence on the MACD has formed. I expect a repeat drop to the area of the broken level 82008, and only from there can new buys be considered. There is also approximately an ascending trendline running there. If the price nevertheless can push through these barriers, then the development of a decline will become possible.