FXOpen
When analysing the BTC/USD chart on 6 November, we observed the following:
→ News regarding Trump’s win and his campaign promises to support the crypto sector have likely contributed to Bitcoin’s rising value.
→ We noted Bitcoin’s continued movement within a long-term ascending channel (indicated in blue), which has contained the price trend through 2024.
→ We identified a resistance level (marked by the top red line) that could present an obstacle in the cryptocurrency’s upward momentum.
Since then, in just six days, Bitcoin's price has surged by approximately 20%. Specifically:
→ The red arrow shows how the red line's resistance level briefly held back the bulls, only for the price to break through and accelerate upward.
→ The blue arrow marks a period of price consolidation, suggesting a temporary balance between buyers and sellers and a possible adjustment to the blue channel, positioning the median line here.
With bulls firmly in control, will this rally pause? According to a technical analysis of the BTC/USD chart, Bitcoin now approaches a significant resistance zone formed by:
→ The upper boundary of the long-term ascending channel.
→ The psychological $90,000 level.
A minor breakout above this psychological level is possible, which may then set the stage for a correction—a plausible outcome given that the RSI has reached an eight-month high.
FXOpen offers the world's most popular cryptocurrency CFDs*, including Bitcoin and Ethereum. Floating spreads, 1:2 leverage — at your service. Open your trading account now or learn more about crypto CFD trading with FXOpen.
*Important: At FXOpen UK, Cryptocurrency trading via CFDs is only available to our Professional clients. They are not available for trading by Retail clients. To find out more information about how this may affect you, please get in touch with our team.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
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