Will Bitcoin Bullish Rally Continue?

Hello, dear subscribers!

Let's take a look at current Bitcoin price action. We can see that the Head and Shoulders bearish scenario was cancelled becauce the neckline area was not broken.

There was also the danger of dead cat bounce scenario that could means the end of bullish rally but the price was able to find support above the 61% Fibonacci level according to swing high and low. This bearish scenario was also cancelled.

Now we can see that the price faced with the rejection exactly at the 78% Fib level but it is normal situation. If the price break through the 78% Fib the next rejection will be at ATH level, but now according to this analysis we can see that there is a high probability of bullish rally continuation and we can see the $44600 (R3 monthly level) during next week.

Comment:

We can see that the price broke down the 0.5 Fibonacci and bounced off the 0.38 Fib level of $34900. There are three green lines which are significant levels of support and resistance (the white arrows demonstrates the support/resistance points).

Globally there is a symmetric triangle pattern, which lower band coincides with the global upward trend line. The really strong support is the $33200, where the lower band, global support and r1 pivot level have a crossover.

Another scenario is the rising widening wedge. Now we can see the bounce off it's lower band. As a result we can potentially see the price growth to it's higher band approximately to the ATH level. If the price is able to break the wedge's lower band down the price can find support next to the $33200 level.