Bitcoin (BTC) breakout starts here

Bitcoin (BTC) breakout starts here

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Bitcoin should breakout on Monday. The $BTC price is holding just under $69,000, and a break either up or down is about to take place. With an upward trend still intact since the beginning of May, perhaps the bulls will have the greater say in the ultimate price direction.

Breakout approaching

Source: Coingecko/TradingView

In the short time frame of the 4-hourly, $BTC is within a triangle and has almost reached the furthest point. A decision should be made on Monday whether the price will break to the upside or the downside. Given that the trend is up, a breakout in that direction is probably more likely. Although a fake out to the downside could happen first.

Upside momentum soon to return

Source: Coingecko/TradingView

Moving to the daily time frame, it’s debatable how the bull flag is drawn. That said, both bull flags show a breakout, and the price is consolidating above the two versions. After the last week of downward and sideways price action, it might be expected that momentum to the upside will return once the short time frame stochastic RSIs enter the oversold territory.

Battle royale between bulls and bears

Source: Coingecko/TradingView

Zooming right out in the weekly time frame, it can be seen how $BTC is still battling to shake itself free of the resistance at $69,000. This is the top of the previous bull market in 2021, and given that this formed a double top, bulls will want to avoid the price retreating from what could be a fairly calamitous treble top. The price wicks both to the upside and the downside show the battle royale that has been taking place between bulls and bears.

Flight into bitcoin?

However, having said this, we are still in a bull market, and unless this bull market is to be cut far shorter than previous ones, the likelihood is that $BTC, with time on its side, will still climb to a top at some point in 2025.

Nobody knows which scenario will take place for bitcoin, but with the traditional finance system in massive disarray, and the chances of a global economic collapse possibly taking place within the next year or two, a flight into an asset outside of the system such as bitcoin might well occur. 

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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