Bitcoin edged higher after registering only a false breakdown with great separation below the 40,000 psychological level. Now it is traded higher at 43,460.86 below 44,031.85 today's high. BTC/USD increased by 11,27% from 39,573.21 yesterday's low to 44,031.85 high.
In the last 24h, the price of Bitcoin is up by 3.17%, while in the last 7 days, it is down by 9.63%. It's still premature to talk about a strong upward movement as long as the rate stands under strong resistance levels.
BTC/USD Turned To The Upside
Technically, Bitcoin has printed a false breakdown below the 50% ( 41,144.47) retracement level. Its failure to stay below it signaled a rebound at least towards the 38.2% (43,942.06) retracement level.
It has jumped above this level but it has failed to stay there. Personally, I've drawn an ascending pitchfork after yesterday's pin bar, false breakdown with great separation below the 50% retracement level.
As you can see on the H4 chart, BTC/USD printed a false breakdown with great separation below the lower median line (lml) as well signaling a potential growth towards the median line (ml).
After printing the current rally, BTC/USD could slip lower. Personally, I believe that the cryptocurrency could resume its growth as long as it stays within the ascending pitchfork's body. A temporary decline could help us catch new upward movements.
I would like to see a strong consolidation and sideways movement in the short term for the price to accumulate more bullish energy before developing a strong swing higher.
Making a valid breakout through the median line (ml) could really validate more gains ahead.The material has been provided by InstaForex Company - www.instaforex.com