Yesterday, the bitcoin exchange rate finally managed to break out of a very narrow price range and resume the upward trend. In principle, despite the fact that we expected and continue to expect a strong correction, everything is logical from a technical point of view. Three strong support levels kept bitcoin from starting to fall, and since the cryptocurrency, like any other instrument, can not stand in one place for long, the upward movement resumed. The analysis of the completely technical picture is shown below. Here, we will talk about the optimistic news for bitcoin.
There has been a lot of skepticism and pessimism in Bitcoin recently. First, it has been rising in price for more than a year now. Previously, it was rare for an upward trend to take such a long time. Secondly, bitcoin has already grown significantly in price, so buyers with each new increase, logically, should become less. Third, everyone who wanted to buy bitcoin for the long term, has already done it a long time ago. Fourth, there was no news that could provoke a new round of purchases at such a high cost. Fifth, many market participants still doubt that central banks and governments will allow bitcoin and its counterparts to exist in peace. Keep in mind that all cryptocurrencies pose a threat to the national currencies and financial systems of all countries, especially developed ones. Plus, any of the upward trends in the past ended with a collapse of 80-90%. Thus, many expected that just in April, at least, a correction would begin. But it didn't start, and growth resumed instead.
Only MicroStrategy continues to invest money in bitcoin. The company declares it publicly, even if the purchase is only a couple of hundred coins, and also continues to introduce cryptocurrencies into its internal life and activities. Now, its management has decided to pay income and dividends to its directors in cryptocurrency. It is reported that the remuneration will be calculated in US dollars, after which it will be converted into bitcoins and paid to the management. Thus, the company is still on the path of full immersion in the cryptocurrency world. It is difficult to say whether the crypto market reacted to this, or whether the demand for bitcoin has again banally increased? Earlier, after the really "hype" news, there were no questions about why BTC grew. Now, the market has become more calm, if such an expression can be applied to bitcoin at all. Another fact that should be noted is that the upward momentum is still weakening. We have formed an ascending channel and the course of bitcoin is located as close as possible to its lower border. Only thanks to yesterday, the cryptocurrency exchange rate moved slightly away from this line. However, buyers will need to hold the upward trend again. To do this, an influx of new investments is needed. In the near future, there may not be any problems with them, since a certain part of the money given by the American government will definitely move to the stock and cryptocurrency markets.
In technical terms, the overall picture remains the same. The upward trend continues and bitcoin has another benchmark. Now, there are two targets – the nearest resistance level of $65,400 and the next psychological level of $70,000 per coin. There are also three supports, which are $44,600, $52,300, and $56,000, as well as the ascending channel. Now, the consolidation of quotes below the channel will be a signal for the beginning of a strong correction.
