Despite the recent decline in Bitcoin's price, "Michael Saylor", a prominent figure in the cryptocurrency market, continues to advocate for holding onto Bitcoin. This comes as some analysts, citing recent US employment data, anticipate a potential interest rate cut by the "Federal Reserve", which could drive up riskier assets like Bitcoin. In this analysis, we will delve into the technical reasons supporting this view
#Bitcoin / Daily Timeframe #Bitcoin failed to reach above the bearish channel on the weekly timeframe during its previous bull-trend.
Subsequently, it has retested the channel's bottom with the recent decline.
As a result, there is potential for growth based on a double bottom pattern and a triple divergence, targeting the channel's upper boundary.
This rally could initiate from the current channel bottom or the support zone of $49,000.00 - $50,096.10.
! If it rallies from the channel bottom and reaches the first target of $57,877.90, a pullback to retest the second support zone is likely before a substantial uptrend resumes !!
Regardless, a breakout above the first target ($57,877.90), which is a crucial resistance level on the daily timeframe, is essential for the uptrend to continue ✓
Subsequent targets include:
Target 2: $66,755.85
Target 3: $74,537.70
X The stop-loss for the bullish scenario is a breakout below the bearish channel and a daily candle close below $49,000.00 on the weekly timeframe.
In this case, the trend would shift from bullish to bearish, potentially targeting $41,218.20 and then $34,494.20
#Bitcoin / Monthly Timeframe Potential for a Significant Uptrend
On the monthly chart, #Bitcoin is showing signs of forming a flag pattern, which could signal a substantial price increase.
!?However, for this bullish scenario to play out, the price needs to break above the flag pattern on the monthly timeframe.
If this occurs, #Bitcoin could potentially rally to around $155,000 #Write2Earn! #btc $BTC