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With a massive inflow in March’s third week, the Bitcoin price breached the $25000 barrier and completed a nine-month-long bullish pattern called inverted head and shoulder. Under the influence of this pattern, the Bitcoin price is set for a massive bull run which is likely to surge the market value to $34250. Here’s how you may grab the potential rally.
Key Points
- A bullish breakout from the neckline resistance($25000) of an inverted head and shoulder pattern indicates the Bitcoin price is likely to witness prolonged recovery in April 2023
- A potential breakout from $28800 will signal the resumption of prior recovery
- The intraday trading volume in Bitcoin is $20.63 Billion, indicating a 3.3% loss.
Source-Tradingview
Before the Bitcoin price resumes its last recovery, the coin holders are witnessing a temporary consolidation phase meant to check price sustainability at higher levels. For the past two weeks, the coin price strictly resonated between $28800 and $26500 levels.
Though this long consolidation reflects uncertainty in the market, the BTC price didn’t go below the $36500 mark indicating the buyers are defending their newly reclaimed levels. The lower price rejection candle observed in the weekly candle reflects the rising buying pressure at lower prices.
Thus, if the price sustainability continues above the aforementioned level, the buyers will recuperate and resume the prior recovery.
Also Read: Best Crypto AI Trading Bots For 2023
Source-Tradingview
The daily chart clearly highlights the ongoing consolidation between $28800 and $26500. As of now the Bitcoin price trades at $28381, but the higher price rejection candle attached to the daily candle indicates the overhead selling pressure persists. These rejection candles indicate the coin price may consolidate for a few more sessions.
Thus, a potential breakout from the $28800 barrier with a daily candle closing above will release the build-up bullish momentum. The resulting rally may drive the BTC price to the $31500-$31900 barrier followed by a $34500 target.
However, depending on a trader’s aggressive nature, they can maintain a close stop loss a few points below the $26500 support, or a longer stop loss below the weekly-50 EMA slope below $25000.
Technical Indicator
RSI: The weekly RSI slope moving high in the bullish territory indicates sustained bullish momentum in the market.
Exponential Moving Average: The 20 EMA slope may offer strong pullback support to the Bitcoin price
Bitcoin Price Intraday Levels
- Spot rate: $28341
- Trend: Bearish
- Volatility: High
- Resistance levels- $28800 and $31800
- Support levels- $26600 and $25250
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
