FX.co ★ Technical Analysis of BTC/USD for June 15, 2021

Crypto Industry News:

Demand for Bitcoin among Canadian investors has not waned amid the recent correction, further evidence that market participants are benefiting from heavily lowered prices.

According to Bybt data, the Bitcoin ETF Purpose, which was launched in February, has now amassed 19,692,149 BTC as of June 13. ETF added 284.51 BTC in the last seven days and almost 2,000 BTC from May 15.

The ETF further increased its holdings during the May 19 crash in which Bitcoin fell below $ 30,000 before recovering quickly.

According to a technician from Byzantine General, the proceeds to the ETF Purpose fund suggest that Canadians don't care about Bitcoin's short-term price action.

In the shorter timescale, Bitcoin's price action has been a source of concern for the bulls. The flagship cryptocurrency fell below $ 40,000 over the past month, and any attempt to regain this level was flatly rejected. A coincidence of technical slumps, weakening sentiment and negative headlines contributed to the bearish price movement.

Technical Market Outlook:

The BTC/USD pair has broken above the level of $40,000 after a successful breakout above the technical resistance seen at $39,413. The next target for bulls is seen at $40,454, $41, 096 (38% Fibonacci retracement) and $41,798 - $43,159 zone. The momentum is strong and positive, so the overall outlook starts to look bullish. The confirmation will come after the $41,798 - $43,159 zone is clearly violated.

Weekly Pivot Points:

WR3 - $51,501

WR2 - $45,102

WR1 - $42,774

Weekly Pivot - $36,903

WS1 - $34, 523

WS2 - $28,705

WS3 - $26,848

Trading Recommendations:

Even despite the recent correction the bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. Any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $30,000 is clearly broken on the daily time frame chart (daily candle close below $30k).