The largest market cap holder of the cryptocurrency is Bitcoin, and it has started to rally. The tight range of 43,000 to 29,000 is almost being pierced. The influx of capital from institutions is causing the major rally prospects and we may see a continuation towards 50,000 and upward soon.

- Market structure: After much battle between bears and bulls, the bulls finally take control. BTC was in a tight range in an accumulation phase and kept on rolling back and forth. Right now, what we see is, BTC breaking the range upwards with force and continuous bullish candles. If this range is broken, and market retests the resistance turn support, then we can see the next impulse towards the 57,000 mark.

- Trendline: Earlier, the descending trendline was pierced and market continued to validate the breakout buy with candles opening and closing above it. Now, with the trendline breakout and the range being breached, we can anticipate the forthcoming bullish move.

- Retracement: After the price leaves the range upwards, we will wait for the retracement to hop onto the long positions. The area of golden retracement is estimated around 37,000. If it doesn’t tap here, we may wait for a retracement further

- EMA's: EMA 50 and EMA 200 almost had a bearish death cross but then, diverged at the exact point. This reflects BTC is going to continue its bullish impulse and we are still in a bullish direction.

- RSI/CCI: Both the oscillators are in a bullish region. RSI is at 66 and CCI is at 124. There is still some room for both the oscillators towards the upside levels of 75 and 150. CCI earlier dropped back from the over bought region to neutralize the bullish momentum.

Bitcoin is parabolic with it moves. Its advisable to trade it in spot positions rather than leveraged ones. We anticipate the break of the range towards upwards after months of accumulation. Once this happens, we are continuing to go up to the next resistance of 57,000.

Bitcoing moving out of the range

Aug 07 2021

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