Analyst Thoughts: Bitcoin Medium-Term
VIEW RETAINED FOR A BULLISH PRICE ACTION TO 39 900, AFTER AN INTERIM CORRECTION TO 31 600.
The long-held bullish view of S2 is materialising.
The indicated target area is around R3 where phase A= C is a common extension level.
S0* at the previous highs are now the pivotal support for the illustrated view. A definite break at this level will negate further upside potential.
The market is currently forming a small trend-ending pattern with oversold and diverging RSI conditions. This should result in a meaningful phase 4 correction off R2 towards S0*
A break above R3 will extend the bull trend to about 47 500.
Target and Re-assessment Levels:
Pivotal Levels: S0*
Primary Trend and Target Levels: Gains to R3, followed by downside to S2
Prevailing Trend and Target Levels: Gains to R2
Technical Rating: Medium