Technical analysis According to a post by crypto analyst Josh Olszewicz, on social media platform X there is a growing bullish sentiment around Bitcoin. This will be especially true if Bitcoin surpasses $72,000, deemed incredibly important. Olszewicz uses both Fibonacci extension and Ichimoku Cloud to illustrate a scenario in which breaking the key resistance level would catapult Bitcoin toward a goal of $91,500.
Bitcoin could skyrocket to $91,500
Ichimoku Cloud is used in the analysis. A complex technical indicator, it provides insight into market dynamics, trends, potential areas of resistance and support over different time frames. Bitcoin’s current price is shown to be in a positive phase. It is located above cloud. The fact that the price is above the cloud has traditionally been a sign of a strong upward trend.
The Ichimoku setup has the Tenkan-sen (conversion line) crossing the Kijun-sen (baseline) at times, resulting in buy/sell signals depending on the intersection of the two lines relative to the cloud. In the most recent chart, the line has crossed over the baseline. This reinforces the bullish sentiment portrayed by cloud positioning.
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Fibonacci levels are plotted to provide potential resistance and targets. They start at a low of $56,485.87, then move up from there. The Fibonacci extension 0.5 level has been marked at $63,727.40. This is already exceeded by the current price trajectory.
The analyst has noted that the $72,000 pivotal price level is closely aligned with the 1.0 expansion at $71,897.29. The 1.618 expansion at $83,456.87 is a promising first price goal, and the 2.0 extension, at $91,513.53, represents the final extension.
The volume profile shows that trading volumes are declining. A period of accumulation can be indicated by a decreasing trading volume, since less selling pressure may allow prices to stabilise and build up a foundation for an upward breakout. This trend is based on the declining volume. consolidation phase In recent months we have seen a rapid movement, which could occur once the accumulation is complete.
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Olszewicz makes a remark that is emphatic. “BTC: when this baby hits $72k you’re going to see some serious shit,” The high stakes that are associated with the resistance level. It is more than a mere technical observation. This signals to the market the possibility of much higher prices once the $72,000 barrier is broken.
This would trigger an explosion of trading, both in retail and institutional investors You might consider it a sign of a trend upwards that could push the price to the level indicated by Fibonacci’s 2.0 extension, which is $91,500.
BTC is currently trading for $67,783 at the time of this press release.
Featured image created with DALL·E, chart from TradingView.com
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Source: www.newsbtc.com