BTC Upwards to 50K and 56K but face resistance
BTC just broke out of the downtrending channel (in green). This channel forms a flag pattern from the previous strong impulse move up.
Breaking out of this channel to the upside signals a trend continuation.
Aggressive target is the height of the flag "pole" from the impulse move, bringing it to the 57k area. Notice that this level lines up with the Fib extension level of 361.8%.
Prior target levels may consider other Fibs level - 49.5K (161.8%), 53K (261.8%), 56.7K (361.8%)
However, the high target levels are likely to face some resistance from the long term uptrend channel line (in pink) and rebound. Ideal scenario will be for the price to consolidate just below this resistance and then another strong momentum will be required to break through before moving onwards.
I am new to this. Bear with me and please let me know what you think and point out any gaps in my analysis and what other considerations I need to add confluence.
BTCUSD
Breaking out of this channel to the upside signals a trend continuation.
Aggressive target is the height of the flag "pole" from the impulse move, bringing it to the 57k area. Notice that this level lines up with the Fib extension level of 361.8%.
Prior target levels may consider other Fibs level - 49.5K (161.8%), 53K (261.8%), 56.7K (361.8%)
However, the high target levels are likely to face some resistance from the long term uptrend channel line (in pink) and rebound. Ideal scenario will be for the price to consolidate just below this resistance and then another strong momentum will be required to break through before moving onwards.
I am new to this. Bear with me and please let me know what you think and point out any gaps in my analysis and what other considerations I need to add confluence.
BTCUSD
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