Bitcoin (BTC): Massive Price Surge Brings New Yearly High
BTC rate: $47,300 (previous week: $42,732)
Resistances/Goals: $48,529, $48,993, $50,790 / $51,307, $52,125, $53,005, $54,077, $55,817, $56,979, $56.99, $57.99, $59,778, $59.99, $59,778, $19.6, 8.6, 71, 71 $66,996 USD $66,299, $67,416, $69,000, $67,416, $69,000, $77,678
Support: 47,070 USD, 45,596 USD, $ 44,499, $ 42,449, $ 42,625, $ 42.001, $ 42,445, $ 42,653, $ 39,300, $ 300,289, $ 37,519, $ 36,312, $ 34,647, $ 30.930 $ 2,0930 $ 30,000, $ 28,810, 26,170 USD
Fueled by various bullish factors, such as Russia’s announcement that it can use Bitcoin to settle oil and gas sales, Bitcoin (BTC) has risen significantly over the past seven trading days and advanced as high as the MA200 (green). The first sales started just below $48,529 and are currently taking a bit of a breather.
The bulls have taken the helm again for now with this dynamic surge. As long as BTC price stabilizes above $44,499 and thus above EMA200 (blue), the bulls will do their best to break above the current high and continue towards the blue resistance zone between $50,790. and $52,124.
Bullish scenario (Bitcoin price)
The upward trend of the previous weeks continues. The break above $45,596 late on Sunday night and the recovery to $47,095 further brightened the chart picture for a short time. If it manages to bottom above $47,095 in the next few trading days, and Bitcoin also breaks above the MA200 at $48,529 at the daily closing price, the price rises back above $50,000 in the direction of the resistance zone between $50,790 and $52,124. to be expected. This area will once again test the buyer’s part. Already in December 2021, Bitcoin failed to reach this resistance level several times.
If Bitcoin breaks through this area without a significant price correction in the coming weeks, the resistance zone between $53,005 and $54,077 will come into focus. If BTC price also does not bounce south here, Bitcoin will target the $55,817 price mark. Along with this, the major 61 Fibonacci retracement would also rebound. If Bitcoin can also subsequently break above the horizontal resistance at $55,817, it will trigger the next major target area between $56,979 and $57,901. Here, the short side will try to move the price south again.
Looking up to the all-time high
If the bulls survive these sell-off attempts and Bitcoin stabilizes above $57,901, a rally to $59,778 and $61,771 can be planned. With that, Bitcoin would have broken through key resistance levels on the way to the bottom. historic high. If Bitcoin then forms a bottom above the $60,000 mark, the target marks at $63,189 and $64,896 move into the focus of the buyer field. So, a rally to its November 2021 peak is increasingly likely. A trend reversal at the latest resistance levels at $66,299 and $67,416 can be described as unlikely for now.
The bulls should not miss the opportunity to initiate a new all-time high. However, to trigger price targets above $70,000, Bitcoin price needs to remain firm in the area of its previous high of $69,000. Only then would a breakout in the direction of the next target projection be conceivable at $77,678. In the longer term, Bitcoin could target possible targets at $89,982 and higher with a one-year delay. The bullish interpretation is reinforced by the fact that Bitcoin has now also generated new buy signals for the RSI and MACD indicator on the weekly chart.
Bearish scenario (Bitcoin price)
The bears appear to have lost the battle for now. The dynamic break above the all-time high of $45,596 triggered a massive sell-off of existing short positions. Although the sell side was able to avoid a rally above the MA200 for the time being, Bitcoin has made a new high for the year but is also turning bullish. Only when the price of BTC dynamically corrects below $45,596 and subsequently breaks the EMA200 at $44,499, should a correction back to $43,449 be planned. The EMA20 (red) is currently running here as well. .
If, contrary to expectations, the bears also manage to break this support, a range between $42.625 and the key $42.001 mark can be expected. There are two strong supports here with Supertrend and EMA50 (orange). The bears should do everything in their power to push Bitcoin back below $42,001 towards the $40,598–$40,959 area. This area last acted as a support area. Therefore, significant resistance is expected from the buyers around $40,000. If the seller also manages to break below $40,000, investors will refocus on $39,300 as the decisive zone.
False Breakout Could Accelerate Correction
If Bitcoin breaks below this support again, Bitcoin could extend its consolidation towards the all-time low of $37,519. If this support level is also dynamically undermined without resistance from the bulls, the correction will initially expand to $36,312. If the group of buyers also does not return to the trading floor here, a drop to $34,647 is also conceivable. A breakout of this support level clouds the chart picture again and makes a retest of the year low at $32,930 likely. The possibility that Bitcoin could target significantly lower prices in the future continues to rise. If the buy side does not return to the market even at the low of the year, the correction is likely to extend to at least $31,603.
Investors should not be surprised if the price sells down to the psychologically important $30,000 mark. This could allow Bitcoin to target its 2021 lows at $28,795 again. On the first attempt a counter move of the bulls should be planned. Subsequently, however, the bears will do everything in their power to target the light green support zone between $26,170 and $27,562. The correction might come to an end here. From this support area, a significant upside move above $30,000 is planned. On the other hand, if the release at the 61 Fibonacci retracement above fails, a long-term sell-off up to $20,000 cannot be ruled out. However, as in the previous week, the bullish scenario remains favourable. As long as Bitcoin prices break above $44,499, higher BTC prices are only a matter of time.
Bitcoin Dominance: Market Power Takes a Breath
Over the past seven trading days, Bitcoin’s market dominance has shifted sideways. On the upside, the EMA200 (blue) capped another rally attempt, while on the downside, the crossover support of MA200 (green) and Supertrend held. This means that the subsequent rise above 44.25 percent in the direction of the general downtrend line has shifted for the time being. However, as long as BTC dominance does not sustainably drop below the 42.28 percent support, further rally attempts should be planned. Only a drop below the horizontal support at 41.92 percent could lead to an extension of the correction towards 41.41 percent.
BTC dominance: bullish scenario
BTC dominance is consolidating sideways with no direction. More recently, bitcoin dominance failed to recover above the 43.36 percent level toward monthly highs. If BTC dominance manages to break back above the EMA200 in the next few trading days and thus breaks back above the orange zone, the red resistance area will once again be in focus. However, only when the all-time high in the 44.25 percent range can be broken dynamically will BTC dominance directly penetrate the yellow resistance area. However, in the zone between 45.09 percent and 45.71 percent, Bitcoin dominance should initially bounce. With the downtrend line and horizontal resistance at 45.71 percent, two strong hurdles await here.
BTC Dominance Likely to Rise Further
If BTC dominance can break out of these price levels in the coming weeks, a march to 46.86 percent is conceivable. This resistance level represents the first strong resistance on the way to the October high at 47.72 percent Unless BTC dominance sustainably reverses south here, the view is towards overall target levels at 48 .67 percent and 49.26 percent to judge. Here the BTC dominance should bounce on the first try.
However, if Bitcoin dominance sustainably breaks above the 49.26 percent mark, the next upside target will trigger in the form of the psychologically important 50 percent mark. If BTC dominance subsequently stabilizes above this relevant resistance level, the next price targets can be found in the resistance zone between 52.19 percent and 53.16 percent. As in the last analysis, the maximum price target remains unchanged at 54.23 percent.
BTC dominance: bearish scenario
BTC dominance has been unable to break out of the 42.50 percent support in recent trading days. Although the supertrend appears to hold as support for now, if Bitcoin’s market dominance shrinks further, a short-term directional decision in the 42.28 percent range can be expected. On first tap, BTC dominance should bounce north here. However, if Bitcoin dominance subsequently undermines this support level at the daily closing price, a corrective expansion to 41.92 percent and below 41.41 percent is conceivable.
Yearly lows are about to be tested again
Here, Bitcoin’s market power must swing north again to avoid another drop to yearly lows. However, if Bitcoin’s market dominance fails to stabilize, the horizontal support at 41.01 percent will once again be in the spotlight. If BTC dominance also fails to stabilize at this support level, the correction will immediately expand towards 40.66 percent.
In the medium term, Bitcoin dominance could start its key support at 40.03 percent. A recovery should be planned no later than this level of support. However, if this does not happen, a downward pullback for the year to between 39.56 percent and 39.24 percent cannot be ruled out. From the perspective of the current chart, the area between 39 and 40 percent remains the maximum correction target at the bottom.
Disclaimer: The price estimates presented on this page do not represent buy or sell recommendations, they are merely an analyst’s assessment.
The chart images were created using TradingView created.
USD/EUR exchange rate at the time of publication: 0.90 EUR.
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