Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View More
Bitcoin Technical Outlook: Still Looking For The Bullish Break

Bitcoin Technical Outlook: Still Looking For The Bullish Break

Manish Jaradi, Strategist

Bitcoin, BTC/USD - Technical Outlook:

  • Bitcoin appears to be gaining traction in recent days.
  • The case for a broader base-building in cryptocurrencies can’t be ruled out.
  • What is the outlook for BTC/USD and the key levels to watch?

Cryptocurrency Trading
Cryptocurrency Trading
Recommended by Manish Jaradi
Get Your Free Introduction To Cryptocurrency Trading
Get My Guide

BITCOIN SHORT-TERM TECHNICAL OUTLOOK - NEUTRAL

After lackluster trading over the past few weeks, Bitcoin appears to be gaining some traction. However, it would be too soon to conclude that the tide has changed for cryptocurrencies.

BTC/USD has traded within a narrow range since mid-December, holding around crucial support at the December 7 low of 16690, highlighted in the previous update. The hold above the support keeps alive the view of a broader base-building in cryptocurrencies, that is, scenario 1 pointed out in mid-November. Having said that, the hold above a support area wouldn’t necessarily imply bullishness. That’s because BTC/USD has seen similar bouts of strength in recent months which weren’t sustained.

BTC/USD Daily Chart

image1.png

Chart Created Using TradingView

In particular, the 89-day moving average has been a significant barrier since mid-2022, coinciding with another ceiling at the mid-December high of 18370. Until the barrier is cleared, the path of least resistance remains sideways to down for BTC/USD. A decisive break above could pave the way initially toward the 200-day moving average, potentially toward the 5 November high of 21470.

BTC/USD Weekly Chart

image2.png

Chart Created Using TradingView

On the downside, 16200-16700 continues to be a strong cushion. Any break below would confirm that the upward pressure had faded, raising the odds of a broad range of 15500-18500 developing in the interim. Furthermore, a decisive break below the November low of 15480 could pave the way toward the 2019 high of 13895.

Traits of Successful Traders
Traits of Successful Traders
Recommended by Manish Jaradi
Traits of Successful Traders
Get My Guide

--- Written by Manish Jaradi, Strategist for DailyFX.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES