Big Picture: Over the weekend, price action remained consolidative, with no significant movement. This consolidation has provided some relief for the pair on the lower time frames, but all of the indicators on the higher time frames remain in a much oversold position, and have been for about 25 trading days. This demonstrates the aggressive attitude of bulls in recent weeks.
On the Upside the trendline resistance is still a major obstacle for Bitcoin. This is most certainly the last big hurdle preventing price from making another significant move higher. Surpassing this resistance will be critical for bulls if they are to rise into the mid-mid-range of the current range levels. The trendline is currently visible between the levels of 37,225 to 37,580. Above here, the price will channel higher into 38,000, followed by 38,800, and next towards 39,250.
On the Downside for several weeks, all of the key EMAs have lagged considerably behind the price. EMA-50 was previously tested on October 16th and has trailed significantly since then. This clearly demonstrates the bullish intent, but bear in mind that price could potentially mean-revert to a bunch of EMAs before continuing higher. The session’s initial support level is 36,800, followed by levels ranging from 36,550 to 36,400. Price is expected to cancel out any major corrective pullbacks as long as current levels hold. Any significant profit-taking event can aim for levels of 35,600 and potentially 34,550.