November 26, 2022

Bitcoin Facing Critical 2-Month Resistance, Will The Uptrend Continue? (BTC Price Analysis)

2 min read

Bitcoin is up by a whopping 25% throughout the week as the main cryptocurrency reached over $40K yesterday – – the acme because June 15, 2021.

As revealed on the charts listed below, BTC rate broke above a falling wedge formation toward the end of last week and eventually managed to climb up above the key resistance level offered 20-day MA on Friday.

Then, the rate continued over the weekend to finally have a daily close (Sunday) above the 50-day MA, for the first time given that May 9. Yesterday, BTC surged by an excellent 15% from the low of $35,280 to the high at $40,500. Sadly, it fulfilled resistance there at a bearish.382 Fib, in addition to the 100-day moving average line, and ended up dropping lower to close the everyday candle light at $37,300.

Today, after finding assistance in the middle of a rising trend-line (as shown on the 4-hour chart below), BTC is presently trading slightly above the $38K mark.

On the short-term’s 4-hour chart listed below, BTC was trading inside a rising cost channel. Yesterday’s 15% price walking triggered it to break above the upper angle and turn parabolic on the way as much as $40,500. On the retracement, BTC found support at the upper angle of the previous ascending cost channel and rebounded.

As mentioned here previously, Bitcoin had actually been trading inside a variety between ~$30K and $40-42K given that the liquidation event on May 19. Bitcoin was unable to break above or listed below the range, and for the first time considering that mid-June, the upper range had been tested as resistance.

Hence, it was reasonable that Bitcoin had stopped working to permeate above the variety on its very first effort in 6 weeks.

BTC Price Support and Resistance Levels to Watch

Secret Support Levels: $37,000, $36,620, $35,000, $34.5 K.

Key Resistance Levels: $38,400, $39,500, $40,500, $42,000, $43,610, $44,750.

Moving on, the first resistance lies at present levels in the middle of $38.4 K. This is followed by $39,500 (early-June highs). This is followed by $40,500 (bearish.382 Fib & & 100-day MA – the other day’s high), $42,000 (Jan 2021 high), $43,610 (1.272 FIb Extension), and $44,750 (200-day MA).

On the other side, the first support lies at $37,000 (upper angle of the short-term ascending rate channel). This is followed by assistance at $36,620, $35,000, $34,460 (50-day MA), and $33,500.

The everyday RSI has actually lastly penetrated above the long-lasting coming down trend line that prevented the momentum from developing a greater. This line was started forming at the start of 2021. On the day-to-day timeframe, the momentum is now in the bullish favor and is increasing as the RSI climbs higher above the midline.

Bitstamp BTC/USD Daily Chart

BTC/USD Daily Chart. Source: TradingView. Bitstamp BTC/USD 4-Hour Chart BTC/USD 4-Hour Chart. Source: TradingView.