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Bitcoin price congestion warns of a 25% breakout

  • BTC price sideways action spells for an explosive move coming.
  • Bitcoin price has Fibonacci targets at $35,000 and $37,000.
  • Invalidation of the bullish thesis is a breach below the swing low at $26,500.

Bitcoin price sideways action signals smart money involvement. A jaw-dropping rally could occur in the very near future.

Bitcoin price set to ignite a new rally

Bitcoin price action is currently distorting severely compared to the previous consolidations within the decline. The overloaded sideways action could set up a new trend explosion targeting zones between $35,000 and $37,000. 

The Bitcoin price Relative Strength Index is beginning to show impulsive momentum. There could be short-term turbulence in the $30,000 price zone with minor pullbacks before the fireworks occur. A Fibonacci projection indicator surrounding the swing low at $26,500 into the swing high at $ 31,130 projected into the congestion zone at 28,800 provides significant 161.8% and 200% levels in the upper $30,000 levels.

Tm/BTC/5.19.22

BTC/USDT 30-Minute Chart

Invalidation of the bullish thesis is a breach below the swing low at $26,500. If the bears manage to break this barrier, the next target would be $23,500, resulting in a 20% decrease from the current BTC price.

Author

Tony M.

Tony M.

FXStreet Contributor

Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.

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