Bullish outlook for Bitcoin (BTC) and Ether (ETH)

Bitcoin (BTC) retesting its weekly Kijun

In the coming days, the price of Bitcoin (BTC) should return to test its Kijun Weekly around $ 46,900. An important area to pass to return serenely to the All Time High (ATH) of Bitcoin.

The weekly Bitcoin chart (Weekly) by Tagado

The weekly Bitcoin chart (Weekly)

After increasing its price by + 54.76% in 3 weeks, Bitcoin is found under significant resistance, corresponding to Kijun Weekly. Throughout the bull market, this Ichimoku curve served as price support.

Its lower breakout gave a bearish signal, pulling the price towards the next support, the monthly Kijun at $ 34,300. A decisive level which held and which allowed the price to return to its weekly Kijun, also corresponding to a 50% retracement in this descent.

The question now is whether the Kijun Weekly will be re-broken higher in order to have its support again in a further rise, or whether it will act as resistance, causing a further decline.

This decisive level at $ 46,900 must therefore be pierced, with a confirmation at the weekly close, in order to be able to return to seek the 0.618 Fibonacci at $ 51,083, then if this level gives way, the ATH can be tested again.

If, however, the Kijun provokes a rejection, then the price could come back for the top of the cloud at $ 40,800, or even the bottom of the cloud and Tenkan at $ 37,500.

Bitcoin (BTC) tries to break its pattern

Is the outcome near? The symmetrical widening pattern of troughs that we have been monitoring for several weeks is once again in a breakout test from the top.

Bitcoin (BTC) daily chart by Tagado

Bitcoin (BTC) daily chart

Since its support at $ 28,900, Bitcoin has soared in a very short time towards the top of its yellow pattern. The high trendline which had acted as resistance 3 times in the past could give way this time.

If the breakout is confirmed at the close, preferably with a pullback on this trendline, then the pattern breakout target would be around $ 57,400. Of course watch out for the Kijun Weekly on the way, which could well be a barrier to the price.

If rejected on this trendline, a correction should push the price up the Daily Cloud around $ 37,500.

👉 Find our guide to buy Bitcoin (BTC)

Ether (ETH) on the way to $ 3,600?

Ether (ETH), for its part, is trying to break its resistance at $ 3,055. If it manages to close above in Daily, then price should move towards its AB = CD target at $ 3,572.

Ether in Daily by Tagado

Ether in Daily

After having benefited from its recent London update, ETH offers us a great upside opportunity following the breakout of its descending wedge. In the medium term, the trend does indeed seem to be picking up again, with a Tenkan and a Kijun in support, the price should therefore move in the direction of its breakout target at $ 3,572.

Be careful, however, of a possible price pullback on the upper part of the pattern if the Kijun-SSB resistance at $ 3,055 is rejected. Indeed, if Ether returns to this pattern, there will be a risk that the price will go through the twist visible on the chart (crossing of clouds), leading in the bearish scenario to a retest of the support towards $ 1,700.

👉 Find our complete guide to buying Ether (ETH)

In conclusion

Bitcoin (BTC) and Ether (ETH) face significant resistance. If BTC’s Kijun Weekly breakout occurs, then cryptocurrencies should benefit from further bullish momentum with a resumption of the bull run. This level should therefore be monitored, knowing that a rejection would on the contrary be a bad sign for the medium term.

👉 Follow our section dedicated to technical analyzes

Newsletter 🍞

Receive a recap of crypto news every Sunday 👌 And that’s it.

What to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliate. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus using our links.

Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and cannot be held responsible, directly or indirectly, for any damage or loss caused as a result of the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and invest only within the limits of their financial capacity. This article does not constitute investment advice.

About the Author: Tagado

Back to top button