In this brief analysis, I am going to share with you why I believe that we could be experiencing a second impulse that will take BTC to higher levels.
The first signal was last week, when $BTC surpassed its previous high, on a daily time frame. This is known as ChoCh Change of character, since the structure was not altered (breaking historical highs for example) but its character was, changing from "corrective" to "impulsive"
Its interaction with key levels:
In a previous post I mentioned that when the trend changes, the levels that functioned as resistances start acting as supports. In this case, BTC is relying on each level as a refuge for liquidity to boost itself.
Today's correction.
We have many macro factors to think that this is just a brief correction:
Last week, when BTC was between 62-63, it was the first week in a long time that ETFs registered inflows of more than 600M. It is a slight flow, but it indicates that institutional capital considers those prices to be a good buying zone.
Closing of FME futures. This Monday, institutional futures and monthly BTC options closed, which always generates a closing of positions and movements. Since these futures are for a period of 1 month, unlike perpetual ones.
As far as it fell.
While the price took refuge at the weekend in the 65k structural zone of 0.38 fibo, the fall is heading towards 62,400 at 0.5 fibo.
It may not reach 62,400 and may begin to regain its bullish momentum after today, with the opening of new futures and more ETF purchases.
The most interesting thing about this momentum is that: It broke the previous high, and is using the previous resistances as current supports.
I cannot say for sure that we are facing a push to new highs, not at all, first we have to follow the evolution of the price. But I am very optimistic.
In the coming days we should recover the 65K level to continue the upward trend.
Finally, total capitalization continues to rise:
Among all the signals, this is the best. After having fallen below 2T, it managed to increase and reach 2.3.
This was reflected in the altcoin sector, which has been making excellent gains in recent days.
Conclusions:
I want you to answer me the following:
Are we at the beginning of the end, one last rise before falling, or on the contrary, are we at the start of a new and better cycle?
Either way, I'll keep you posted if there are any new changes.
Crypto Citizen says goodbye! Enjoy your week and have great profits.