BTC – “Major Resistance Approaching”

4-Hour Analysis:

Big Picture: The hourly range was broken in a strong manner, with aggressive buying and short coverage dragging BTC to 42k and then 44k in the matter of seconds. However, we are currently back around a key level with numerous strong confluence points of resistance. However, substantial liquidity is expected to be there behind this barrier, which might be used as a target. A rapid shift into resistance is typically an unwelcoming sign, and it might be another manipulative tactic. At these levels, keep an eye out for manipulative price movement.

On Upside at 44250, there would be initial resistance for the day. However, a significant resistance level of 45500-46050 is rapidly approaching. This is where EMA-200 Daily is being observed which is likely to act as a strong resistance level. BTC went back to 4-Hour based range lows around 35k levels after this level acted as the prior rejection. We can’t rule out profit-taking at this level of 45.5-46k. Moving forward, if price can break through this level with a successful re-test of 45.5k, we’re likely to see 48-50-52k as the next upside targets.

On the Downside 42850 is the initial intraday support level, followed by 4195. However, below this level, the 40800-40400 support zone will reopen, which is likely to operate as yet another big support zone. However, if pushed, 39650 is likely to be the day’s low, limiting any further decline. However, it appears unlikely that this level will be reached very soon.