We started February with the break of the downtrend that has been happening since the bitcoin hit its last high in early January hovering around $42K, and surely more than one will have been excited in the last two days or even today Saturday to see that the bitcoin is touching the price of almost a month ago. As the old saying goes, dreaming is free, because it is almost undeniable that more than one dreams of bitcoin reaching $100K by the end of the year or even before, who says no?
But we are not just here to speculate like dreamers and let's move on to analysis.
Btc Chart Analysis:
While until the end of December the price was in a bullish channel hovering around the lower band of the Fibonacci velocity channel that goes from 0 to -0.382. Once the ceiling was broken, it tested it as a floor, staying in the range but now in the upper zone, this behavior can be taken as a positive test to the uptrend.
Currently we can see that maybe tomorrow we will see if it breaks or not the limit of 42K. If it does not, it would test again the support of the previous channel and if it breaks it, it would return to the 30K to gain strength, and in this way these days will only be seen as a parallelization.
It is not worth being alarmed if this happens, since the -0.382 level is close and it is the one that has been testing positively.
Calmness, the graphical part is nothing to worry about in the short term, even until the first week of March, which will be when in the worst case the -0.382 speed creates the node with the long term Fibonacci extension.
Btc Dominance:
On the side of the btc dominance, it is observed as it reaches the middle of the range with a good support, and again everything will depend on the next few days if it returns to higher values or if it will go in search of the bottom of the range.
Conclusion:
Don't go crazy.
Watch for tomorrow and the day after.
And don't be surprised if it pulls back, it is always a possibility.
