On September 16, Bitcoin rebounded from horizontal support, hitting a high of $ 48,557 before falling slightly.
Today it bounced off the small support area of $ 47,000 and broke a descending resistance line shortly thereafter.
BTC continues to rise
On September 13, BTC bounced off the support area of $ 43,950 and has been moving higher since then. The upside hit a high of $ 48,557 on September 16. A short-term decline followed.
Despite a significant rebound, technical indicators are still trending down on the daily timeframe.
MACD attempted a bullish reversal (green symbol) but failed on the falling close of yesterday’s candle. The RSI is neutral because it is at the 50 line and the super trend line is bearish (red line).
Hence, the current rally appears to be more of a bullish correction than a bullish trend reversal.
BTC / USDT daily chart | Source: TradingView
Short term movement
The six hour chart is more bullish. It shows a sustained rebound led by a bullish divergence in both the RSI and the MACD.
After that, BTC reclaimed the $ 47,000 region and confirmed it as support on September 16.
As long as the price does not close below this zone, BTC is expected to continue moving higher.
BTC / USDT 6-hour chart | Source: TradingView
Additionally, the two-hour chart shows BTC breaking above the descending resistance line.
Additionally, the MACD has shown a bullish reversal signal and the RSI is above 50.
Therefore, BTC is likely to continue to rise in the short term.
BTC / USDT 2-hour chart | Source: TradingView
The most likely number of waves indicates that BTC is in wave C of the ABC correction structure (black).
The first target for the top of the move is $ 47.940. This level provides the 1: 1 wave A: C (black) and is the 0.5 fib retracement resistance (white).
As a result, BTC is currently headed for the next most likely target of $ 50,750. This level gives wave A: C a ratio of 1: 1.61 and corresponds to 0.786 fib retracement resistance.
Hourly BTC / USDT Chart | Source: TradingView
You can see the Bitcoin price here.
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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
According to Beincrypto