Big Picture: The bulls gained significant momentum in yesterday’s session after pulling off a strong breakthrough over the immediate resistance zone. In addition, the bullish pattern took effect, resulting in prices rising during the previous several hours. Bulls will continue to have a comfortable position in the next hours, however continuous high volume activity will be important and facilitate for even higher levels. Meanwhile, partial profit-taking is still encouraged.
On the Upside after breaking through a number of resistances, price is now heading for the 46,600 level, with a possible move towards the 61.8% Fibonacci retracement around 48,240 in the next hours. This is where caution is urged once more, as price may watch some significant profit-taking. While any signs of strength over 48,240 may potentially lead to the 50,000 milestone, which was last reached in December 2021.
On the Downside Bitcoin is beginning to establish a number of supports. Primary support will come from the 45,720 level, followed by the 45,410 level. Price may take some nice bounces upon testing these levels, driven by dip buyers. If these supports fail to hold, the price is expected to fall into the lower support area, which would be between 44,820 to 44,630 levels. This is another strong supporting level that could draw in fresh entrants.