Bitcoin (BTC) prepares to make a higher high
The BTC/USD pair is currently holding above $63,500. The next step for the bulls is to push the price above $65,050, which would be an all-important higher high, and would officially break the current downtrend. Is this the first stage in Bitcoins drive towards its all-time high?
Momentum is pushing Bitcoin higher
Source: TradingView
The $BTC price is potentially about to crack open the door that will lead to the next higher high, and the path towards the top of the bull flag. Not far above this is the prize of surpassing the all-time high at $73,800.
Despite threatening to drop out of the ascending channel earlier on Thursday, the bulls gathered to push the price back inside, and now the $BTC price looks to be forcing its way through the resistance at $63,600.
Should it be successful, and confirm above, the higher high at $65,050 will be in its sights.
In all likelihood, this can be the time for the $BTC price to push on upwards. The Stochastic RSI at the bottom of the chart is signalling short term momentum to the upside is on its way. This is the case with the 8-hour Stochastic RSI, while the 12-hour is also approaching the bottom, ready to turn up and signal upside momentum.
Stars are aligning again for Bitcoin
Source: TradingView
The weekly chart shows how everything appears to be moving into place for Bitcoin. The $BTC price is moving solidly towards the top of the bull flag, currently held up by the resistance (blue lines).
At the bottom of the chart is first the Relative Strength Index, which is displaying a potential breakout, and a trend reversal should the breakout be successful.
Below this is the Stochastic RSI for the weekly timeframe, which is currently signalling strong upside momentum. Both of these indicators will confirm at the end of play on Sunday.
Bitcoin is the barometer for global liquidity
Source: Ycharts - https://www.lynalden.com/bitcoin-a-global-liquidity-barometer/
Finally, the chart above was taken from Sam Callahans article Bitcoin: a global liquidity barometer, commissioned and advised by Lyn Alden. The chart shows how various assets are affected by global liquidity, which is now on the rise. Of all the assets, Bitcoin has the highest sensitivity to global liquidity, meaning that it could be seen as a barometer for this rising liquidity. Renowned investor Stan Druckenmiller is quoted in the article as saying:
Its liquidity that moves markets
If hes right, with central banks across the world cutting interest rates, and injecting liquidity through other means, Bitcoin could potentially be the major beneficiary, and the first asset to start its big upside move.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Read more: https://cryptodaily.co.uk/2024/09/bitcoin-btc-prepares-to-make-a-higher-high
Text source: Crypto Daily™
