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Here’s what would trigger a swing to the upside for Bitcoin



Source: Pixabay

A recent article discussed the possibility of Bitcoin being in a Wyckoff Accumulation as its price targets a comeback towards the $40,000 mark. As traders await BTC’s recovery to its April highs, its short-term trajectory still remains in question. At the time of writing, Bitcoin traded at $34,783, up by 1.7% over the last 24 hours.

Bitcoin 4-hour chart 

Source: BTC/USD, TradingView

BTC’s reset on June 22 and its steady climb thereafter led to the formation of symmetrical triangle, from where there are near equal chances of a breakout in either direction. The upper trendline of this pattern coincided with the 4-hour 200-SMA (green), 38.2% Fibonacci Extension ($35,629) and the 12-hour 50-SMA (not shown). Hence, an argument can be made that a close above this zone would trigger a swing to the upside and possibly towards the 50% Fibonacci Extension and 29 June’s swing high of $36,617. To invalidate this outcome, sellers can target a fall below 2nd July’s swing low of $32,717- something that can result in a breakdown from the pattern.


Despite gains made since yesterday, bullish momentum was actually receding in the market as per the Squeeze Momentum Indicator. However, a squeeze was currently in effect and volatility could remain low over the coming sessions. The Directional Movement Index was still suggestive of a bullish trend as +DI maintained above the -DI.

However, an ADX reading of 15 reiterated the possibility of some sideways action as the market was less directional.  The Relative Strength index did maintain a neutral territory, but a down-channel was a worrying sign. This indicated some weakening in the market over the past week.


A mixed bag of indicators made it arduous to pinpoint BTC’s next resting zone in the coming days. However, its short-term movement could be sideways and between the $34,000-35,000 price level, with slight chances of a rally towards its 50% Fibonacci Extension at $36,850 before the next pullback.

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A business graduate with a keen interest in emerging markets across South East Asia. As a financial journalist, he covered stocks and market reports across Australia and New Zealand as well.

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Disclaimer: AMBCrypto's content is meant to be informational in nature and should not be interpreted as investment advice. Trading, buying or selling cryptocurrencies should be considered a high-risk investment and every reader is advised to do their own research before making any decisions.