Bitcoin accelerated slightly during the week of Jan 23-30, forging a small bullish candlestick which was easily contained within the previous week’s bearish candle.
At the moment, both the RSI and MACD are collapsing. The RSI, which is a momentum indicator, has fallen below 50 (red icon). This is examined a sign of a bearish trend. However, the previous time the RSI fell below this level, it only effected a deviation (red circle) prior to the continuation of the ascending shiftment.
Overall, the weekly time frame is painting a relatively bearish outlook.
Current dealing figure
The daily chart shows which BTC has been exchanging within an growing parallel channel afterward April 13, 2021. On Jan 24, 2022, it leapped at the support line of the channel (green icon), executing a protracted lower wick — a sign of buying pressure. The cost has been moving skywards afterward.
The closest resistance area is found at $40,800, a serious level that previously acted as support.
The daily RSI provides an interesting bullish signal as it has evolutiond above the abovesold cost of 30 (green circle).
Previously, the RSI has fallen below 30 before recovering the level twice:
- March 2020 — preceding an ascending developmentment of nearly 1,000%
- May 2021 — preceding an skyward shiftment of 122%
Therefore, this is a bullish sign that has historically transpired close to or at relevant cost bottoms.
Short-term BTC evolution
The six-hour chart shows that BTC is exchanging within the minor $38,700 resistance, that is both a horizontal resistance area and the 0.5 Fib retracement resistance level.
Previously, it made an attempt at brecomparableg out on Jan 27 and is presently malikeg another breakout attempt.
The two-hour chart shows which BTC has already broken out from a symmetrical triangle (green icon), and is in the process of credibleating it as support.
Granted that it manages to restore the previously schemed $37,800 resistance area, the main target would be found between $40,000-$40,300. This target field is found using the 0.618 length of the previous ascending movement (white) and the 0.618 Fib retracement resistance level.
Granted that BTC manages to movement atop this level, the next target would be found at $42,500.
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