Bitcoin price analysis: Is BTC bullish run exhausted?

BTC/USD spiked yesterday to another all-time high, reaching $8354,46, spreading as usual confidence and fear among traders. The short-term price structure is showing Bitcoin moving inside a bullish channel, integrating a bullish flag pattern that is reaching its end (a bearish sign).

MACD indicator is showing a divergence with the latest bullish ride, started last November 18th and now showing signs of exhaustion despite still in positive territory. The 200-SMA is making fast progress following the price action and is now close to $7300, a key area to take into account if we finally get a bearish breakout of the current flag pattern. This kind of upwards triangular formation is a sign of bullish exhaustion, so chances are high that next swing turns south.

Bitcoin is in a clearly bullish scenario in the longer run, though, with no meaningful price barriers limiting the upside. In case of another bullish breakout, the current technical formations are not expected to find other resistances than the $10000 mark, which will probably act as a psychological barrier.

In the short term, recent all-time high and the superior part of the current channel, around $8450, are the targets to consider for today.

In the bearish side, supports are located in the trendline starting from early November, now around $8100, with the second support being at $7900, around the current channel base.

Conclusion

As usual, price action will dictate events, with technical exhaustion signs and bearish patterns showing a corrective move as the most likely one today, instead of Bitcoin price looking for new highs. Potential breakouts from the current channel should be tracked to position for next moves for the main cryptocurrency. Positions should not be taken while the price stays in the current formation.