Once again our levels were perfect yesterday. We mentioned the resistance at $97.5k (orange line,) which was eventually broken and perfectly back tested before starting this current move towards $103k.
Today I want to see consolidation and a daily close above $100k to give confidence of a move towards $106k. If we see any correction, I do not want to see any 4 hour closes under $97.5k.
Another strong performance from Bitcoin yesterday with a break through of the $97.5k 4 hour resistance. BTC faced the next resistance just above $100k where it has rejected from so far.
The $97.5k breakout has not yet been back tested, so any retest of this orange zone is a key level to watch for a reaction. If this level holds then we could be looking at $103k next.
Bitcoin is respecting yesterday's mentioned levels perfectly- after closing above $95.8k (Monday High and 4hr EMA200) this has flipped into support and has been retested successfully.
The orange zone is acting as resistance exactly as expected, with each 4hr candle rejecting from $97.5k. Watch out for any further test of $95.8k today or a clean 4 hour close above $97.5k.
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Bitcoin finally swept the liquidity at $90k and below yesterday, and since that we have seen the strongest reversal for a few weeks. We are looking for a 4hr close above $95.8k (Monday High and 4hr EMA200.)
The second main resistance to overcome is $97.5k (Orange line on chart) which we can see has been a key 4hr S/R level over recent weeks. The Monday range this week is: $88.9k - $95.8k.
As mentioned yesterday $96k (4hr EMA200) was likely to be resistance for Bitcoin. At the weekly close/ open we can see the aggressive rejection exactly from that yellow line.
With BTC now trading below $94.5k (Weekly Open) we cannot rule out a sweep of $90k again. Let's see how the Monday range develops.
Sideways movement for Bitcoin so far this weekend, with the price moving within a 1% range. $93.5k (Monthly Open) continues to be the main level of support below, with $96k (4hr EMA200) the next main level of resistance to overcome.
No need to rush things here with such low volume, but we could see increased volatility heading into the weekly close.
A bad day of price action for Bitcoin yesterday catching out traders on both sides. We are seeing $93.5k (Monthly Open) holding as 4hr support now, as we were looking for, but BTC has been able to hold $95k+.
I am not expecting any significant moves today, but I will be watching the reaction of any push towards $96k (4hr EMA200) or further retests of $93.5k.
As mentioned in yesterday's update, there was a good chance of Bitcoin testing closer to $90k. The low was $91k, with the key level of $91.5k (Prev Week Low) giving a strong reaction.
BTC has once again reclaimed the $93.5k (Monthly Open) and this is starting to look like a V-shaped recovery. If the current strength holds then we are looking for a push back towards $97.8k (Monday Low.)
Yesterday saw Bitcoin test the $93.5k - $92.8k zone as I was expecting. Eventually there was a reasonable reaction from this level, with a 2.5% bounce, however BTC has started to look heavy again. The last 4 hour candle closed below $93.5k (Monthly Open) and right now is facing resistance trying to reclaim.
Acceptance back above $93.5k and we could see a push towards $97.8k (Monday Low) towards the end of the week. If it fails to reclaim then we could see a test closer to $90k.