Hello 🖐
As we said in the technical analysis of Bitcoin on December 19, if the price can stay above the $17,000 level and maintain its support level, its next target is $17,800 to $18,500. We see the price of Bitcoin reaching its target on the chart of this cryptocurrency.
Also, by breaking out the $17,400 level (the previous pivot), Bitcoin was able to easily reach the resistance zone in front of it and react to it. Last night, with the release of very important news, the bank interest rate has been increased by 50 units or 0.5% according to Mr. Powell's statement. This event caused the decline of the US dollar index (DXY) and since the price of Bitcoin has an inverse relationship with the price of the dollar index (DXY). We saw about 7% growth in this great cryptocurrency.
Currently, with the price of Bitcoin reaching the resistance zone and reacting to the ceiling of the green ascending channel, a small correction to the range of $17,100 (the floor of the ascending channel) is expected to be reasonable. Still, the short-term trend of this cryptocurrency is bullish and there are no signs of decline in the 4-hour time frame of Bitcoin.
A very important educational point is the red line (POC) in the Fixed Range Volume Profile tool. This very practical and of course free tool is used to analyze volume trends at certain time and price levels. This tool shows the number and volume of BUY and SELL transactions made at each level. In the following, we mention the important parts of this very useful tool.
1. POC control point (red line): The control point is the price level that has been associated with the largest trading volume.
2. Yellow and blue rows: It shows the decrease and increase in trading volume for each price level.
3. Light blue area: shows the range of the selected volume profile.
Golden tip: To use the left toolbar, click on the seventh tool from the top and select the Fixed Range Volume Profile option. The correct way to use it is as follows. Place this tool on the ascending wave or the descending wave that managed to break out your previous pivot and using the red POC line, the level that had the most trades. Consider as a possible corrective level.
By using this useful tool, you can get a better view of the nature of financial markets.
Therefore, the price of Bitcoin up to the red line of POC can have a price correction. and grow again to the level of $17,800 to $18,500. If the price can stabilize above the resistance level of 18,500, its next targets are expected to be $18,750 and $19,200.
If the support level of $17,000 is lost and the bottom of the green ascending channel, the areas of $16,700 and $16,400 can be the support range for this cryptocurrency.
Arztoday Team 💙
Analyzer ✍: AR.Rashidi
As we said in the technical analysis of Bitcoin on December 19, if the price can stay above the $17,000 level and maintain its support level, its next target is $17,800 to $18,500. We see the price of Bitcoin reaching its target on the chart of this cryptocurrency.
Also, by breaking out the $17,400 level (the previous pivot), Bitcoin was able to easily reach the resistance zone in front of it and react to it. Last night, with the release of very important news, the bank interest rate has been increased by 50 units or 0.5% according to Mr. Powell's statement. This event caused the decline of the US dollar index (DXY) and since the price of Bitcoin has an inverse relationship with the price of the dollar index (DXY). We saw about 7% growth in this great cryptocurrency.
Currently, with the price of Bitcoin reaching the resistance zone and reacting to the ceiling of the green ascending channel, a small correction to the range of $17,100 (the floor of the ascending channel) is expected to be reasonable. Still, the short-term trend of this cryptocurrency is bullish and there are no signs of decline in the 4-hour time frame of Bitcoin.
A very important educational point is the red line (POC) in the Fixed Range Volume Profile tool. This very practical and of course free tool is used to analyze volume trends at certain time and price levels. This tool shows the number and volume of BUY and SELL transactions made at each level. In the following, we mention the important parts of this very useful tool.
1. POC control point (red line): The control point is the price level that has been associated with the largest trading volume.
2. Yellow and blue rows: It shows the decrease and increase in trading volume for each price level.
3. Light blue area: shows the range of the selected volume profile.
Golden tip: To use the left toolbar, click on the seventh tool from the top and select the Fixed Range Volume Profile option. The correct way to use it is as follows. Place this tool on the ascending wave or the descending wave that managed to break out your previous pivot and using the red POC line, the level that had the most trades. Consider as a possible corrective level.
By using this useful tool, you can get a better view of the nature of financial markets.
Therefore, the price of Bitcoin up to the red line of POC can have a price correction. and grow again to the level of $17,800 to $18,500. If the price can stabilize above the resistance level of 18,500, its next targets are expected to be $18,750 and $19,200.
If the support level of $17,000 is lost and the bottom of the green ascending channel, the areas of $16,700 and $16,400 can be the support range for this cryptocurrency.
Arztoday Team 💙
Analyzer ✍: AR.Rashidi
