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BTC/USD outlook: Bitcoin skyrockets on strong institutional buying, nears 120K target

BTC/USD

BTC/USD hits series of new record highs, as the latest bull-leg extends into fourth consecutive day and accelerated strongly on Friday (up 4.5% for the day so far).

Bitcoin received fresh boost by increased demand by institutional investors, as well from Trump administration’s crypto-friendly policies.

Eventual break above tops of short-term range signaled an end of consolidation and start of fresh bull phase.

Bulls approach the first significant resistance and target at psychological 120K, where some hesitation could be anticipated, as daily studies are overbought.

The latest rally kept accelerating more every next day, suggesting that positive sentiment is strengthening.

In such environment bulls may take short pauses for consolidation / shallow correction (that will provide better levels to re-enter bullish market) before resuming.

Violation of 120K pivot to expose targets at 123026 (Fibo 123.6% projection of the rally from 74389), 130K (psychological) and 131331 (Fibo 161.8% projection.

Initial supports lay at 117500/117000 zone, followed by 113450/113000 (today’s low / daily Tenkan-sen) which should contain dips and guard lower pivot at 112K (former record highs).

Res: 120000; 123026; 127100; 130000.
Sup: 117000; 113500; 113000; 112000.

Author

Slobodan Drvenica

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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