Bitcoin raised through $41,700 mark on Wednesday before finding resistance and pulling back. The crypto is seen to be trading close to $41,300 mark at this point in writing and might drop to $40,000 levels before resuming its rally. Bulls will now remain inclined to hold prices above $38,500 interim low, to keep the immediate structure intact.
Bitcoin has been unfolding a more complex corrective rally since $33,000 lows. The first wave terminated around $48,000 levels earlier, which was then followed by the second wave lower through $38,500 level respectively. If the above structure holds, the final wave is set to push higher through $50,000-55,000 zone going forward.
Bitcoin is retracing its downswing between $69,000 and $33,000 levels. Potential remains to reach up to $50,000-55,000 zone, which is close to fibonacci 0.618 of the above drop. Bears will be poised to take control thereafter and drag prices lower below $33,000 mark in the next several weeks. Watch out for intraday support around $40,000 mark.
Trading plan:Potential rally through $50,000-55,000 mark against $33,000
Good luck!