Bitcoin Price Review

Bitcoin Chart Review

Analysis

It's important to keep an eye on the long-term green upward trendline for BTC. There's a possibility that it may retrace and then bounce back from this trendline. The retracement could be around $25,000. Currently, the volume hasn't increased significantly, and the RSI indicator is showing signs of reaching the 70 high, which could indicate a potential retracement in the upcoming weeks.

The Fibonacci retracement tool suggests that Bitcoin may potentially reach $40,000 in value. However, this appears to be a high-risk investment due to stagnant trading volume and a high RSI. It is also uncertain whether Bitcoin will retrace to below the 2022 lows of $15,000 due to the halving event in 2024. In my opinion, it is more likely that Bitcoin will retrace to the 2017/2018 peak of $19,000. Nonetheless, a dynamic DCA strategy at $25,000 may be a reasonable approach for buying Bitcoin.

When looking at a weekly chart it is helpful to remind ourselves that we are looking for a move in a number of weeks not days or hours.