Earlier this week, the price of Bitcoin finally broke its temporary 10-day downward pathway, confirming it is ready to go up again.
Having the 38.2 percent retracement level held from last week and the rise above the $3,500 price mark from this week, Bitcoin’s climb is gaining traction.
Bitcoin Price Weekly Chart
The Bitcoin’s weekly price chart clearly shows that the cryptocurrency’s bulls effectively guarded the previous resistance of $3,536.
This was converted into support and they actually never needed to depend on the 200-week moving average (MA).
In the past two weeks, this pattern is detected to rise promptly towards the main support levels.
Regardless of the closing down on the weekly candle at $3,625, the bulls still managed to reach regional highs of $3,727 on Monday morning.
Bitcoin Price Daily Chart
The daily chart is a closer look up in the true colors of Bitcoin. According to the most recent numbers, we can clearly see what lies ahead for the price of this cryptocurrency.
With a current price of above $3,700, it is not an impossible thing for the $4,000 aspirations brought forward in 2018 to be retested again.
The perfect time is now, as Bitcoin proved to have successfully destroyed the diagonal as well as the horizontal resistance.
This made a noticeable advancement in CMF’s profile, displaying regular higher lows.
As announced last week, there was a market transaction pressure spotted, and it was finally taken care of since September of 2018 when it could not stay above zero.
Currently, it has the support and it recorded a positive result.
If the price of Bitcoin actually manages to accelerate up to $4,000, it will grant the digital currency with a possibility of much higher prices in the future.
It is important to make a note that there are many unsuccessful attempts to reach this aim in the past, and this is becoming a common issue among the traders in the market.
Bitcoin Price 4-Hour Chart
The four-hour chart, representing an even deeper and more detailed report, is showing that there was a good volume on Bitcoin’s price breakout.
The price of $3,700 was the bull’s primary objective to cultivate on Monday, and that is exactly what was accomplished.
In case Bitcoin succeeds to break through the $3,700 scope too, it would signify finalization of the movement ability in tighter periods.
In case this is not possible and Bitcoin fails to support the $3,700 range, then an entire move’s retracement can be expected, or even worse.
Typically, such failure to support movements lead to quick progress in the opposite direction.
Overall, according to the metrics, Bitcoin has a bigger tendency of continuing this trend than to overturn.
As a piece of evidence, there is the 100 simple moving average (SMA) that is currently in a higher position holding up as a forceful level of support.
In the occasion of a withdrawal, the longer-term SMA of 200 can be considered as ground for the $3,600 mark.
The levels dropping below $3,500 will signal that most certainly, the uptight pressure is back, and that is something that should be prevented.
Bitcoin’s relative strength index, or RSI, already indicates it is inside the overbought zone, and that means the sellers have a bigger chance of taking over the buyers.
In case this happens, the price of Bitcoin might also backtrack to approximately $3,700.
Since the overbought zone will not be completely hit in the near future, the buyers are likely to preserve the dominance for the time to come.
The noted, Bitcoin’s progress is just the perfect start to the new working week.
Additional bullish prognosis estimates are expected to be drawn granting a possible extension of the rally.