A practising trader and founder of the Crypto Mentors project, Crypto Mentors Nikita Semov explains the current market situation.
Bitcoin posted strong gains last week. We assess the likelihood of the uptrend continuing and identify key support and resistance levels.
On the daily chart, Bitcoin rose beyond the value area to the key resistance level of $59,500, which signals confidence in buyer activity and acceptance of higher price levels.
Strong support levels are $59,500, $56,900 and $53,500. The robust resistance level in the context of the global time frame is the horizontal line drawn from the price extreme, located at $65,000.
In the medium term, a correction may be expected, followed by a continuation of the up move and the establishment of new highs.
On the hourly time frame, the price is in balance within a range of $60,800 to $62,300. This balance is expected to continue, with quotes moving higher. This is also indicated by a divergence between cumulative delta and price, suggesting that selling volume is being absorbed by limit buy orders.
The main scenario for the next week is a breakout from the local range, surpassing $65,000.
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