Home Daily Analysis Crypto Market sentiment Bitcoin: Is a Crucial Breakout About to Take Place?

Bitcoin: Is a Crucial Breakout About to Take Place?

105
0

Bitcoin produced an inside bar yesterday. The day before, yesterday’s candle came out as a strong bearish candle. Thus, any breakout at yesterday’s lowest low would drive the price towards the South. Today’s intraday price action has been bearish. Thus, there is a possibility that the sellers may get a short opportunity as far as the daily chart is concerned.

Let us have a look at the Daily-Bitcoin chart.

The Daily Chart

The level of 11832.95 is the level of resistance here. Several daily candles have been held by the level, and it produced a daily bearish engulfing candle day before yesterday. Yesterday’s candle (arrowed) came out as an inside bar. This is an implication of bearish price action. Any intraday breakout at yesterday’s lowest low would drive the price towards the South with a good pace.

Let us now have a look at the H4-Bitcoin chart.

The H4 Chart

The H4 chart shows that the price had a bounce at the level of 11013.10. It then went towards the level of 11406.25 and had a rejection. The price seems to be heading towards the South. The H4 traders shall wait for a breakout at the 11013.10 to ride on the potential bearish wave. The resistance level is a strong one where the price bounced twice earlier. It got broken and has been acting as the resistance level. The H4 traders may get very optimistic with the strength of the resistance.

The Bottom Line

Both the H4 and the daily traders are to wait for the breakout at the same level. This may bring enough liquidity once the breakout has taken place. As we see, there is enough space for the price to travel towards the South. Thus, the next breakout might be a very crucial breakout for the Bitcoin traders.

LEAVE A REPLY

Please enter your comment!
Please enter your name here