Bitcoin is under pressure after hitting all time high of 69000. As of today its trading at 39000+- so lets analyze in detail if it is a good time to buy Bitcoin? good for investment or we wait for a another fall towards 30000.
Lets Talk Technicals
As we can see in the above chart Bitcoin is still holding its over all long term trend that is to the upside – Bullish. Previous support zone was around 32000 levels we saw it took many bounces from there many times to cross the resistance of 39000 & from here we saw a big rally of 30000 points. Also for now Bitcoin is maintaining above 200 day moving average technically its in a sound uptrend for now. If you have missed my previous analysis – video on my YouTube channel click here to watch so you may get a better understanding of how price action works.
The current price action at a newly established support zone that is at 36000 level seems to be holding for now. If we consider this as a first leg up for Bitcoin then we should see a crossing of the recent swing high that is also a immediate resistance at 45850 level. Once this level is taken out we can now expect it to start making higher highs or in other words resume its uptrend from here and retest the resistance at 69000 level. Yes it will face many resistance levels as it climbs up the next major level is 52000.
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Important Levels For Bitcoin
As of now Bitcoin is at a very crucial support level. If this breaks we may go down further.
Support Levels to watch out.
- 38000
- 36900
- 36300
- 35060
- 39500
- 39000
- 40000
- 41700
I am slightly turning bullish now looking at the weekly chart of Bitcoin. We can confirm reversal here once we see a solid closing above 45850. On the daily chart too we can see a double bottom kind of pattern forming which is bullish if you are a aggressive trading this can be a good level to buy with a small stop loss and a big target. Yes on the daily chart price is below 200 Day moving average but we always have to see the bigger picture and follow the major trend. If you are trading Bitcoin in Dubai do comment below and let me know which platform you are using.
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This is purely my personal view on Bitcoin, please do your own research before investing in any financial instruments.
All the best !!
