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Bitcoin Market Analysis – 08.02.2021

It’s being a week of high expectations as Bitcoin broke out above $40,000 (before making a little retracement), putting new all-time highs within reach. The breakout above $35,000 last week was significant as it opened the door to a new all-time high test. The final hurdle at $40,500 has prevented BTC from a new all-time high, while many all-time highs were established by Altcoins during the past week.

Indeed, the crypto market is going parabolic as most investors have been seeing substantial increases in their portfolio sizes. However, the rally in DeFi alts, in particular, is at risk of becoming overheated as momentum may be swinging back to Bitcoin with BTC back above $38,000.

The $40,500 area resistance is the final hurdle to break before the new all-time highs. However, this new strength in Bitcoin means its market dominance is rebounding at the expense of most Altcoins.

Looking at the BTC daily chart, shows a beautiful breakout above $38,000, resulting in a healthy continuation toward $40,500. If Bitcoin’s price can break through the $42,000 area, this will propel Bitcoin to a blow-off top move.

We had a 57 cycle low before continuation, showing a clear uptrend. We have a beautiful cycle structure right here, very similar to the prior 4-years cycle. We could have two scenarios here  – an instant blow-off move or a sideways consolidation which could serve as a base for a big move. The inability of the price to break out from $40,500 area is a sign that, we could have the second scenario, which is natural. Whichever scenario plays out, we will still end in an uptrend continuation.

Fig.1.Bitcoin: Either of these two scenarios will lead to all-time highs.
Source: Paid Content by Peter Brendt and his partners at bitcoin.live

The BTC weekly chart shows a rebound off the 20-day MA. The bulls will once again try to resume the uptrend to an all-time high. A breakout of the $40,500 to $41,900 overhead resistance zone could signal the start of the next leg of the uptrend to $50,000.

Fig.2. Bitcoin: A breakout of the $40,500 to $41,900 overhead resistance zone is key to the next big move. Source: bitcoin.live

From the BTC monthly chart report, shows 5 candle/s in a row, with the candles above the BB. This monthly chart shows a new all-time high stretched above the 10-month MA, exceeding the previous all-time high.

Fig.3. Bitcoin: 5 candles in a row stretched above the 10-month MA, exceeding the previous all-time high. Source: bitcoin.live

Given where we are in the 4 year cycle, it has been entirely a long bull market here since September. I predicted exactly this long term bull market in my earlier video, having seen a very healthy setup, as the price movements looked natural and organic, testing all previous support and resistance levels.

Overall, it’s bull market, the 4 years cycle looks beautiful and everything is aligning perfectly right now but requires little patient.

🔴This Market Update is created using Paid Content by Peter Brendt and his partners at Bitcoin.live. Peter Brendt is a Trader since 1975. Author and publisher of the Factor Report as well as Best Selling Trading Books. If you want to read full content by him and his partners, trading signals/calls in real time, daily/weekly/monthly reports, trading videos and podcasts, trading tips check out his VIP Subscription Service


🔴This Market Update is created using Paid Content by Peter Brendt and his partners at Bitcoin.live. Peter Brendt is a Trader since 1975. Author and publisher of the Factor Report as well as Best Selling Trading Books. If you want to read full content by him and his partners, trading signals/calls in real time, daily/weekly/monthly reports, trading videos and podcasts, trading tips check out his VIP Subscription Service