BTCUSD Historic Rally Flirts With 100k – Action Forex
- BTCUSD nonstop rally almost reaches 100k
- Caution needed as market looks overbought
BTCUSD (Bitcoin) is experiencing one of its best moments in its history, having rocketed by 40% to reach an all-time high of 98,670 in just a month as investors swallowed Trump’s promising crypto regulatory pledges and at the same time sought safety against a complex global geopolitical landscape.
From a technical perspective, the recent rally followed the completion of a bullish pennant formation. However, as the RSI is approaching its recent highs in the overbought zone, traders might be inclined to lock in profits. That said, there may still be some extra room for improvement as the price has yet to confirm overbought conditions around the upper Bollinger Band.
Assuming the wall around 99,000 is breached, the next resistance could develop near 105,000. Should the bulls drive above 110,000, the spotlight might turn to 114,000.
Alternatively, if upside forces evaporate immediately, the price could seek protection within the 90,000-94,000 trendline zone. If that base collapses, the price could fall aggressively toward the 20-day simple moving average (SMA) at 84,550 and then to 79,000.
In a nutshell, BTCUSD traders could be sensitive to downside pressures in the short-term following the latest massive rally. If the bulls successfully claim the 99,000 level, the next peak could occur near 105,000.
