After two weeks of sideways and downwards price action following the $112,000 all-time high, the Bitcoin bulls may be getting ready for the next upward price surge.
Source: TradingView
The price action for $BTC has followed within a descending channel for the last two weeks. This is a bullish formation, and so it might be expected that the price breaks out the top of the pattern at some point. There is also resistance at the current price, but $BTC is rising and the cross-over of the indicators on the Stochastic RSI can help the bulls to push the price up and through the top of the channel.
Could this result in the price climbing back to the all-time high level? Quite possibly, although bulls will need to be careful to avoid a potential double-top. $102,000 remains the major support should the price fall back from here.
Source: TradingView
Looking at the $BTC price action on the daily time frame it does rather look like a bull flag has formed. If the price can break out here, the next decent upward surge could indeed take place.
Source: TradingView
The weekly time frame for Bitcoin shows a very clear higher high and higher low structure. Yes, the Stochastic RSI has the indicators crossing down from the top, but with the 2-week and the monthly Stochastic RSI indicators heading up, price momentum should be on the side of the bulls.
If the support band between $102,000 and $104,000 is strong enough to prevent a bigger correction, a bounce could take place from there which takes the price up to the next level, which could be $120,000, $130,000 or maybe higher.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
