- While Bitcoin’s price has pulled back, it should be seen as part of a new cycle upswing.
- There is a ceiling around US$51,600 and when/if price breaks through, there will be a momentous rally.
Bitcoin has pulled back, ostensibly across an uptrend channel plotted from the spike low on 24 February. The price is now tentatively trying to find a foothold. The market knows this level is there and is probing it for support.
The 24 February low was also, I believe, that of a nominal 40-day cycle and as such, we are due another cycle trough right around now. We are therefore watching current levels with heightened interest as a potential new launch point with the new cycle upswing.
Notice also the arrow joining March and April RSI peaks. It points up, which tells us that uptrend power is intact across the structure, namely that there is some larger advancing force working behind the scenes.
The preferred view is that global risk is bid again shortly and that crypto will follow up and the uptrend will resume. I also view the entire Bitcoin price structure from last December as a big base. The real ceiling is around 51,600 and when/if price breaks through there a momentous rally will be on.