FX.co ★ Bitcoin gains new bullish momentum

Bitcoin rallied in the short term after reaching dynamic support. It's trading at 42,224 at the time of writing. BTC/USD registered a 14.59% growth from Monday's low of 37,169.52 to 42,591.68 today's high. Technically, the crypto is moving somehow sideways in a wide range right now.

The price action signaled that the downside is limited and that the buyers could take the lead. BTC/USD rebounded but a larger upwards movement is far from being confirmed. In the short term, it could extend its sideways movement trying to accumulate more bullish energy before jumping higher.

BTC/USD Bulls In Full Control!

BTC/USD found support on the ascending pitchfork's lower median line (lml) which represented dynamic support. As you already know from my previous analysis, Bitcoin was expected to develop strong growth if it stays above the lower median line (lml) and if it comes back above the 40,330.99 static resistance.

As long as it stays within the ascending pitchfork's body, BTC/USD could resume its growth. 45,501 static resistance is seen as the next major upside target. After the current rally, we cannot exclude a minor retreat.

BTC/USD Forecast!

A temporary retreat followed by the 40,330.99 retests could bring new long opportunities. Also, a strong consolidation in the short term could help the buyers to catch a new leg higher.

As you already know, only a valid breakdown below the lower median line (lml) could activate a larger drop and could invalidate an upwards movement.