Bitcoin [BTC] bounces back above $8200 breaking the parallel channel resistance around $8450.
The upside is now showing potential of the beginning of a macro bull run. Nevertheless, there are still resistances to over-come before confirmation on technical charts.
The daily high on spot exchanges is $8677. The price of Bitcoin [BTC] at 3: 15 hours UTC on 27th January is $8619.
Critical Resistances
According to leading analysts, $8650 marks an important area for bullish continuation. Derivatives and crypto trader, TraderXO, tweeted,
Coming into resistance at the weekly mid range of 88s Im currently short from 8640’s – 1/3rd size filled… further asks higher up Targeting low 82s – 8150’s Clear invalidation level for me is closing above the weekly mid
Not only TraderXO, but also other prominent traders like George and SalsaTekila are in anticipation of resistance at $8650. George tweeted,
…If we don’t reject around 8650 and close the day strong, I’ll close shorts and flip bull. Let’s see.
Moreover, the 200-Day Moving Average at $8915 continues to act as last big hurdles for the bulls.
Furthermore, while the resistance levels are intact, the price also moved above the long-term bear channel once again weakening the bearish sentiments.
CME Gap Update
Bitcoin [BTC] price records yet another CME gap, nevertheless, this time-around it is a bearish one. The futures contract prices opens with a $100 gap at $8595 yesterday.
Moreover, similar to spot, the 200-Day Moving average seems to be acting as the critical region of support and resistance at the moment. The price has witnessed a bullish and bearish deviation, and is again attempting to make a run for it.
The weekly close in the price was above $8500 at $8590. The prices look strong at above the 50-period moving average at $8000.
Do you think the bullish run will continue or is it another bull trap? Please share your analysis with us.
