The results of the week: Bitcoin seeks to level $ 4,000

Trading the Bitcoin is slowly gaining momentum, until the situation comes under control of bulls. Cryptocurrency has the potential to save the chart, if you hold on long enough above $ 3,600. Under favorable circumstances, the asset can even test the level of 4000 dollars in a short time.

The General situation looks like this:

  • after a sharp jerk to the line 3675 dollars, the Bitcoin went on a short-term correction;
  • on 4-hour chart breakthrough took place the upper line of a local descending channel;
  • soon the trading pair BTC/USD can reach 3800 dollars.

At the moment Bitcoin is trading at $ 3626. For the past day the price of the cryptocurrency fell by 0.44 percent.

Technical analysis

This week the bulls were able to protect the support line 3530 dollars, which prevented the further decline of Bitcoin during the correction. On a scale of 4-hour chart held the break above the 100 moving average SMA, in addition, the cryptocurrency has formed a new local maximum.

Now the previous resistance line has turned into good support, which will play a very important role in the upcoming uptrend. At this point, even with a sharp drop in Bitcoin will probably bounce off the Fibonacci 0.5 level, laid on a wave of growth from 3343 to $ 3744. Also, don’t discount a breakthrough of the downward channel on 4-hour chart.

The market situation now is in favor of bulls and the beginning of next week may well be a favorable moment for the growth of Bitcoin. We recommend you to open a small long position at market price with a stop just below $ 3,500. The immediate objectives for taking profits — 3800 and $ 4000.

Source: TradingView

The readings of technical indicators confirm the above theory. the MACD line is at the scale of a 4-hour chart came out in the bullish zone, while RSI indicates a clear uptrend. The situation can be in our cryptodata.

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