On Friday the price of Bitcoin for the first time in a few weeks headed up by 10.5 percent. Trade BTC/USD set a new local maximum in the area of 3710 dollars, and then fell back below. From the point of view of fundamental factors the reason for the growth is quite simple — one of the SEC commissioners, Robert Jackson Jr., in a recent interview admitted the possibility of the imminent approval of the ETF on Bitcoin.
Bullrun still has not come
Thanks to yesterday’s price surge, the cryptocurrency broke above the falling wedge at scale 4-hour chart. She also has fixated above the moving average 200 SMA.
However, the pump still does not guarantee bullrun in the long run. To continue the upward movement of Bitcoins, you first need to form a good support level below yesterday’s spike was not about punching resistance. In the coming days, the cryptocurrency is likely to be spent on correction to the level of 3600$. If Bitcoin falls below, the next stop is the 200 SMA on a scale of 4-hour chart.
Less positive scenario is also possible. Recall that in the period from 24 November to 15 December Bitcoin already broke the falling wedge and raised up to $ 4412. Some time later, the bulls failed to hold on to the support in the area of $ 4,000, and cryptocurrency rolled down.
What do the traders now? We recommend you to follow several important price levels. You can have them put it on the schedule Fibonacci levels from the local maximum of 4235 $ to a local minimum 3,340 USD. At the moment the main resistance level is the area 3682 dollars, after breaking recommend opening a long position.
At the same time falling below $ 3552 will be a good signal to short with the aim of fixing the profit at the level of 3,340 USD. Not to miss the opportunity to open a lucrative trade deal, visit our cryptcat.
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