After the crash, BTC seems trending down in parallel channel. For people who don't know, a parallel channel is highly likely to break to the upside. So a break to the upside is inevitable. But the question is when?
Currently, the price is approaching the upper trend line of the channel. So, as depicted in the chart, we will either see a breakout of the trend line or rejection to the downside again. If a rejection happens, it is very likely that Bitcoin will create a new lower low, as we already tested the 40-41k zone a few times. The more times support and resistance are tested within a short period, the weaker they become. So if we are going to create a lower low, the immediate support will be around 38k. And a break to the upside gives us a potential price target of 50k.
Have a great trading day ahead
Currently, the price is approaching the upper trend line of the channel. So, as depicted in the chart, we will either see a breakout of the trend line or rejection to the downside again. If a rejection happens, it is very likely that Bitcoin will create a new lower low, as we already tested the 40-41k zone a few times. The more times support and resistance are tested within a short period, the weaker they become. So if we are going to create a lower low, the immediate support will be around 38k. And a break to the upside gives us a potential price target of 50k.
Have a great trading day ahead
