• Bitcoin (BTC/USD) is showing strong buying pressure… But price action has been unable to break sustainably above the previous top. 

  • The BTC/USD daily chart is moving sideways. But buyers are stepping in as soon as price enters the $54-56,000 support zone (blue box). 

  • BTC/USD is either building a new uptrend or a larger correction might take place. Let’s review when we expect one of these two patterns to be confirmed.

Can the bulls keep control or is a deeper retracement around the corner?

BTCUSD

Price charts and technical analysis

The BTC/USD daily chart is moving sideways. But buyers are stepping in as soon as price enters the $54-56,000 support zone (blue box).

If we also consider a) uptrend and b) the bullish impulse before (blue arrows), then the bulls still remain firmly in control. Let’s review:

  1. Price action needs to break above the previous top and resistance (red box) to confirm an immediate breakout and uptrend continuation (green arrows).

  2. An uptrend could confirm a wave 5 (orange) pattern.

  3. The larger wave patterns indicate potentially more upside as the wave 5 (orange) completes a wave 3 (grey) of wave 5 (pink) of waves 3 (purple, red, black).

  4. A break below the support, however, indicates a deeper retracement (dotted orange arrow). In that case, price action could test the previous wave 4 (orange) bottom (green box). A bullish bounce is expected there (dotted green arrows).

On the 4 hour chart, BTC/USD is either building a new uptrend or a larger correction might take place. Let’s review when we expect one of these two patterns to be confirmed:

  1. A bullish breakout (green arrows) above the resistance (orange box) confirms that a wave 4 (light blue) is completed and that price action is moving up for a wave 5. The current chart pattern looks like a bullish ascending wedge pattern.

  2. A light pullback (orange arrow) could indicate a larger ABC (green) correction in wave 4 (light blue).

  3. A deeper retracement (red arrows) could indicate a change of the wave outlook. The 123 (light blue) pattern is invalid and a larger wave 4’ (orange) is taking place. 

  4. The bulls remain in control as long as price action remains above the support zone (21 emas and support trend line (green).

Chart


The analysis has been done with the ecs.SWAT method and ebook.

Elite CurrenSea Training Program(s) should not be treated as a recommendation or a suggestion to buy or sell any security or the suitability of any investment strategy for Student. The purchase, sale, or advice regarding any security, other financial instrument or system can only be performed by a licensed Industry representative; such as, but not limited to a Broker/Dealer, Introducing Broker, FCM and/or Registered Investment Advisor. Neither Elite CurrenSea nor its representatives are licensed to make such advisements. Electronic active trading (trading) may put your capital at risk, hence all trading decisions are made at your own risk. Furthermore, trading may also involve a high volume & frequency of trading activity. Each trade generates a commission and the total daily commission on such a high volume of trading can be considerable. Trading accounts should be considered speculative in nature with the objective being to generate short-term profits. This activity may result in the loss of more than 100% of an investment, which is the sole responsibility of the client. Any trader should realise the operation of a margin account under various market conditions and review his or her investment objectives, financial resources and risk tolerances to determine whether margin trading is appropriate for them. The increased leverage which margin provides may heighten risk substantially, including the risk of loss in excess of 100% of an investment.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Uniswap price eyes 20% upswing if UNI can clear this crucial barrier

Uniswap price is on a journey to retest $25 after the recent downswing. On-chain metrics hint at smooth sailing ride apart from the massive resistance at $20.84. A daily close below $17.75 will invalidate the bullish thesis.

More UniSwab news

Three major overlooked factors why Ethereum price is about to skyrocket

ETH price has been consolidating after the cryptocurrency registered a new all-time high on November 10. A few factors suggest that the token may be preparing for a massive take-off. 

More Ethereum news

Solana price to trigger a 15% upswing as SOL retests crucial support level

Solana price appears to be making a comeback after it slipped into a steep correction since its all-time high on November 7. This downswing has stopped after retesting a crucial support level and is on a journey to head higher.

More Solana news

Crypto exchange Kraken lists Shiba Inu, kickstarting SHIB price recovery

Leading cryptocurrency exchange Kraken announced that it will support the popular meme-based token Shiba Inu starting November 30. The digital asset trading platform has already begun accepting deposits of SHIB.

More Shiba Inu news

Cyber Monday 2021 Discounts!

Glued to your trading screen on Cyber Monday? Upgrade your skills by signing up for FXStreet’s Premium service, offered at a discount of up to 50%. Fellow traders have already taken advantage of Black Friday profits. What about you? 

Subscribe now!

BTC

ETH

XRP