Analysis: Bitcoin probably closes the week very positively, price +9%

Bitcoin will close its weekly candle tomorrow. The price is currently up 9% compared to the week before. This brings the coin almost above an important price level, which may cause the price to rise even further. Let’s look at the graphs.

Nice test on red price zone

We’ll start this analysis with a look at the weekly chart. This gives us a good idea of ​​the Bitcoin price in the long term. This also gives us a good idea of ​​the green candle, together with the important red price zone between $62,000 and $67,000.

As you can see, Bitcoin has had a fantastic period, allowing the coin to rise several percent above its previous all-time high. This resulted in an important price level being recaptured (the red zone), which currently ensures that the price does not fall further.

This week’s green candle seems to confirm a test of this zone. Such a test occurs when a price rises above a price level – the currency then falls back into the zone – and then continues to rise with force. If this turns out to be the case with Bitcoin, we are in for a good period.

The coin faces little resistance outside of its all-time high at around $73,700. So it seems like there is a lot of room at the top if Bitcoin does not fall back too far.

Short term rate

To analyze this better, let’s also take a look at the daily chart. Here each candle does not represent 7 days, but 24 hours. This gives us a better idea of ​​the past price action because we can see the price in more detail.

As you can see, the currency has been rising especially in recent days. This Saturday the race remained relatively quiet. The coin is just slightly above the red zone, which is a good sign. By breaking the blue line, the previous high, BTC has broken its downtrend (shown with orange arcs). In addition, the coin also makes a test on the blue line on this time frame.

Should the coin close its daily (and therefore also the weekly candle) above this level on Sunday night, it is likely that we are in for another good period. However, this must really be done above that zone. In the event that the coin drops back into the red zone, it is useful to first wait and see whether BTC remains strong enough. It is therefore important to keep a close eye on the price and this price level.