4-Hour Analysis:
Big Picture: It was indicated yesterday that if BTC could stay above 37200, there would be a relatively sharper short squeeze. BTC currently faces multiple resistances in quick succession, indicating that partial profit-taking is likely. For the time being, 39500-40050 remains a key milestone, followed by 41000-41500.Moreover take note that BTC must climb over 42500 to negate bearish pressure and allow for a retest of 44500 followed by 46000.
On Upside The initial intra-day resistance level is at 39250, followed by 39700, where the EMA-50 4-Hour is likely to act as a strong intra-day resistance level. If this level is broken, we can expect price to fill the CME Gap at 39950 and target the 40500-41000-41500 levels as further short squeeze targets.
On the Downside things remain the same, 37200 acted as major support yesterday and limited the fall for the entire day. This level is still acting as major support. Breaking below this leads towards a re-test of 36600 region followed by daily strong support level of 35500.
