Bitcoin is having a tough time trying to break over $50,000. There have been a few endeavors to break down that line of resistance, but it has not managed to do that till now. Could we be getting ready to see Bitcoin crush that line of resistance and go past $50,000, or are we going to get another chance to get the amount of Bitcoin we can get?
The past 48hrs have been quite cuckoo for crypto; the prices crashed and pumped hard to the extent that if you had been asleep for a couple of hours, you would have missed everything.
After dropping by about 8% yesterday, Bitcoin has recovered most of its losses today. We have hit three new highs in the last week for Bitcoin.
Bitcoin is exceptionally bullish, especially when you look at the more significant timeframe. But each of these highs has been followed by a pretty decent sell-off for Bitcoin.
This increase in selling pressure every time we hit a new high has created a concrete barrier keeping us from breaking that $50,000 mark.
If we can get a successful breakout from this ascending triangle backed up by some volume, it is going to set us up to not only pass over $50,000 but also to hit potential highs around $54,000. That is the implied breakout target for this triangle.
Bitcoin has been developing a bearish diversion since the 9th of February; we are letting in higher highs for the price and putting in lower lows on the RSI.
We could see Bitcoin falling in the coming days to come down, and we will also see dip-buying opportunities.
Until we break and close a candle above $49,200 with substantial volume backing it up, then the ascending triangle has not completed yet.
As a result of the bearish diversion, we could see the price move lower, where we would be able to buy dips.
We have not had a significant strong shake-out type of correction for Altcoins since last September. During this bull run, there will be multiple notable cool-offs and corrections for Bitcoin and Altcoins. It is the cycle of the market.
One thing to note is that Bitcoin had a thirty percent correction in early January; this is similar to what we see with the Altcoin markets recently.
We are in a bull market, but that does not mean that we will go in a straight lineup; there will be frequent and massive corrections. We have to be ready to take advantage of them.
