Bitcoin Attempts to Break $34,000 Resistance, May Resume Fresh Rally

Feb 01, 2021 at 12:44 // News
Coin Idol
A break above the resistance will catapult the coin to rally

On February 1, 2021, Bitcoin price slumped to $32,228 low and made an upward move.

Bitcoin Price Long-Term Prediction: Bullish

Today, buyers have pushed BTC price above the $34,000 resistance, attempting to reclaim the $34,500 support. If buyers are successful, it will signal the resumption of upside momentum. The king coin will rise to retest the $38,000 resistance. A break above the resistance will catapult Bitcoin to rally above the $40,000 high. 

On January 29, the resistance was broken as price reached a high of $38,710. However, the bulls could not sustain the bullish momentum. The coin fell as bears pushed the coin to the range-bound zone. Conversely, now if the bulls fail to reclaim the $34,500 support, Bitcoin will fall to the $30,000 support. The selling pressure may continue to $26,000 low if the bears break the $30,000 support. 

Bitcoin (BTC) Indicator Reading   

Bitcoin price is attempting to break the resistance line for the second time. In the first breakout, the bulls were repelled as the market fell to the range-bound zone. The coin is at level 53 of the Relative Strength Index period 14. The crypto is in the uptrend zone and it is capable of rising.


What Is the Next Direction for BTC/USD?

Bitcoin price is attempting to break the resistance at $34,000. The Fibonacci retracement will hold if BTC faces rejection at level $34,000.On January 21 downtrend; a retraced candle body tested the 78.6 % Fibonacci retracement level. The retracement gives the impression that BTC will fall and reverse at level 1.272 Fibonacci extension. That is a low of $26,129.70.

BTC_-_Coinidol_2_chart_(3) (1).png

Disclaimer. This analysis and forecast are the personal opinions of the author and not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.

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