BTC/USD – The Bullish Trend of the Pair is Likely to Interrupted With a Retreat
- Take Profit: 30,000
- Stop Loss : 32,000
- Timeline: 1 day
- Buy Stop : 31,000
- Take Profit: 32,000
- Stop Loss : 29,000
Recently we saw the year-to-date gains of the BTC/USD pair going above 90% as the pair recently touched 31,341, which was this year’s highest price. In fact, the price hasn’t hit such a level in more than a year. The pair was moving with a firm bullish trend for a few days as there is a mood of optimism surrounding the Cryptocurrency world. Investors are sure about the prolonged crypto winter finally coming to an end as we see a significant rise in all cryptocurrency prices including Bitcoin and Altcoins.
The collapse of giant crypto companies was surely a challenging situation for all crypto enthusiasts but the market sentiments have changed a lot recently. Also the lawsuits from SEC against big cryptocurrency firms was a cause of worry for all crypto analysts. The key reasons behind this sudden shift in mood is the crypto plans and proposals of reputed companies like iShares Bitcoin Trust filing by Blackrock as well as ETF filing by companies like WisdomTree and Invesco. Not to forget the fact that Bitcoin got a boost due to the Fed’s decision to pause the rate hikes in the month of June.
On the charts, we saw a bearish divergence point being formed by the RSI as well as the stochastic Oscillator. That is why, a brief retreat can be anticipated by the pair and following that the price may resume the uptrend once again. In this case, the pair will most probably retest the support level at 30,000. Previously the pair had invalidated the double-top pattern by moving to the key resistance point of 31,091. The bullish trend has been strong for the last week as the pair price is still sitting above the 25-day and 50-period MAs.