While Bitcoin (BTC) and Ether (ETH) have been in a correction phase for several weeks, important supports are being tested. An update on the different scenarios to watch for on the major cryptocurrencies.
Bitcoin (BTC) still testing its cloud
Still well above its daily consolidation triangle, Bitcoin (BTC) continues its correction. If it is currently supported by its cloud support, will it finally manage to move back up towards its price target?
The Bitcoin Daily Chart
While Bitcoin had triggered a long-term target at $82,500, the price is now testing important support around $54,000, the weekly Tenkan. Should the cloud give way from below, BTC is expected to move towards the $49,000 level, which corresponds to the weekly Kijun.
In any case, as long as Bitcoin does not break back below the upper trendline of the $46,000 triangle, the momentum remains bullish and the $82,500 target is preserved.
Symmetrical trough widening still valid at H4
As long as price continues to move within this h4 pattern, bullish bounce remains highly possible, as this type of chartist pattern is more likely to break from above.
The H4 chart of Bitcoin
Thus, if a new return of the price on the low part of the pattern towards $53,600 is underway, it will then be necessary to preserve this support and imperatively rebound.
In case of an upward break, the price will resume its path towards a new All Time High at $75,658 (first target of this pattern), then the $82,500, second target which also corresponds to the objective of the daily triangle.
On the other hand, a break below this level would take the price to the Daily support at $46,600.
Ether (ETH) against daily support
Ether continues to consolidate above its daily pattern. Will it finally manage to bounce back for good
Ether (ETH) Daily chart
As a reminder, the price of Ether had given a bullish signal when it broke its daily triangle of several months. Thus, the $5,940 target was triggered, allowing the price to soar to a new ATH of $4,868. Today, after several weeks of correction, the ETH seems to be making a new pullback on its cloud.
Ideally, the price would bounce back to the $3,840 mark, which would confirm a full pullback to the upper trendline of the pattern. This would then give Ether the opportunity to move back towards its daily target.
In any case, as long as the price remains above its triangle, the bullish target remains active.
In conclusion
Bitcoin (BTC) and Ether (ETH) are currently testing important supports. They will need to avoid reentering their pattern to maintain their momentum and hold their bullish targets.
