Hello traders! The Bitcoin has established a strong uptrend after breaking above the triangle pattern. Prior to that, an 80-day of consolidation took place while BTC/USDT remained within the triangle.
During that time, back on May 10, the price has cleanly rejected $8,117 support which is a 50 Simple Moving Average. This price was the bottom of the triangle and was used to apply the Fibonacci retracement indicator in order to find potential upside targets.
We can see that 261.8%, which is $13,222 could be the nearest strong resistance because this level is also confirmed by 327.2% Fibs applied to the most recent correction down, where the average-price uptrend trendline was rejected. This means that there is still a 15% growth potential which might be achieved in a relatively short period of time. But this scenario will only be valid if the $10,565 support will be respected, with no daily close below.
On the other hand break below the $10,565 will immediately invalidate bullish outlook and Bitcoin could be heading towards the $9,059 support, which is previous supply/demand zone confirmed by 78.6% Fibonacci retracement level.
Bias: Strongly bullish while above $10,565
Potential Support Zone: $11,000 – 11,300
Potential Targets: $13,222
Have a profitable trading!