BTC Price Update 08/05/2021

All Going According to Plan

Bitcoin was and will always be the king of Cryptos regardless of the amount of FUD that is directed towards it. It is designed to stay and make an impact in the world's economy. In fact, Bitcoin fundamentals are turning more bullish than they ever were; Inflation is breaking a new record in America and the Fed will be maintaining aggressive monetary policies. These macroeconomic events dictate the macro trend for Bitcoin which should be up. 

Let’s move to what we always do, which is analyze the Technical aspect of Bitcoin on multiple time frames to hunt short/long term opportunities in the market. 

Before we dig into it, I would recommend reading my previous Bitcoin analysis article of last week to have a better understanding on how the price reacted and how it is moving in out favor: Bitcoin Price Update 07/27/2021

Starting with 1H chart from last week’s article, we can see that price formed a triple bottom pattern which is a strong reversal sign that the short term bearish trend is close to an end as shown in the chart below:

BTCUSD - 1H Chart (Click to View)

Now, one week later, price managed to maintain the bullish trend since it didn’t drop below the 0.5-0.618 Fibonacci range and resumed going up above 40,000 USD mark as shown below:

Now we need to readjust the Fibonacci level to recent highs, we can see that the bullish trend is still intact as long as it doesn’t fall below 0.5-0.618 Fibonacci. Price got rejected at the strong resistance around 41,300 USD. However, I expect it to break soon for price to go up towards 45,000 USD (Minimum target for the bullish squeeze formation):

Bitcoin is bullish on hourly chart as long as it turns the strong resistance 41,300 USD level to a strong support and doesn’t break below it.

Before we zoom out to the 12H chart from the previous article, I noticed something interesting on the 4H chart that might be worth mentioning. Since last week price has broken out of a falling channel and retested its upper line while having RSI supported near the 30 oversold mark.  If price maintains above this new support we might see prices above 50,000 USD:

BTCUSD - 4H Chart (Click to View)

Now, referring to my previous article, 12H chart showed us a potential for Bitcoin to go far beyond its all time high towards 100,000 USD. Bitcoin has been following a large rising channel since 2019 and recently, price found support at the 50% retracement level and got rejected with large volume. As long as the price is maintains above this 50% level, I remain bullish on Bitcoin and that it will go up to reach 100,000 USD in the coming few months. There is no much update on the chart from the last week’s article:

BTCUSD - 12H Chart (Click to View)

Zooming out to the daily chart, in last week’s article I identified a bullish divergence on MACD and another bullish sign on the Ichimoku Cloud where the cloud started turning bullish as shown below:

BTCUSD - 1D Chart (Click to View)

After one week, the MACD indicator crossed the 0 line which means it is in the bullish territory. Price also broke out of the bearish Ichimoku Cloud and found support above it. Finally, the cloud itself turned bullish which could indicate the continuation of a long uptrend:

On the macro scale on the weekly chart in my previous article, Bitcoin price has stayed above the 200 Moving Average line since 2015 while preventing any Death Cross attempts throughout its long bull market as shown below:

BTCUSD - 1W Chart (Click to View)

There is no update on the above chart since we are still above the 50 and 200 MAs. Overall, from the 1H up to the weekly charts, things are looking bullish for Bitcoin so far.

Disclaimer:

Phantom Puppeteer is not a registered investment advisor, legal advisor, tax advisor, or broker / dealer. All investment / financial opinions expressed in any-and-all posts on this page, including screenshots & captions, are from the personal research and experience of the owner, Phantom Puppeteer, and are intended to be interpreted as educational material only. Although best efforts are made to ensure that all financial charts and commentary are as up-to-date as possible, there may be times where price moves beyond key levels before the chart can be posted. Alas, this is part of the fast-paced financial sector and cannot be avoided. Also, occasionally unintended errors and/or misprints may occur.

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