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- Bitcoin remains range-bound as traders eye the 0.5 Fib level for signs of breakout or another leg down.
- Rose Premium Signals advises scalping over large moves amid tariff tensions and unclear long-term market direction.
- Elliott Wave analysis suggests a breakout above Sunday’s high could mark the end of wave (2) and signal new upward momentum.
Bitcoin (BTC) is gearing up for a crucial week ahead from geopolitics and potential technical charts analysis. Rose Premium Signals noted that United States’ trade policy shifted towards a trade war with China again. Although temporarily suspending the 90-day tariff can alleviate the short-term pressures, the effects on financial markets, thus, cryptocurrencies in particular, still remain unclear.
Range-Bound Market Conditions
Due to the current circumstances, Rose had some precautions and recommended to employ the scalping mode. Instead of the big directional moves, he advises traders to play a small game in small directional moves within the channels in the current price range. In his opinion, the price is still range-bound and it will be wiser to make big swings when there exists more evident patterns on the graph.
One of the key technical levels that should be looked at includes the 0.5 Fibonacci retracement level. If BTC manages to overcome this, there is a good chance that it will head higher towards the 0.618 and 0.786 levels of the Fibonacci retracement. However, if the price falls down to touch 0.5 or below it then the possibility of a new downward leg comes into the picture. This makes the coming days especially crucial for those who would like to find a confirmation of the further trend.
Bitcoin Elliott Wave Setup
More Crypto Online has also provided its technical outlook on the BTC price movement, using the Elliott Wave theory to grasp its fundamentals. Thus, the upward move observed in the recent past may be a potential red wave B. If Bitcoin manages to climb over the previous Sunday high, this would suggest that wave (2) is complete, which would also signal the start of a new up move.
Source: X
Neither of the analysts declared a long-term trend; both indicated, however, that they expect more fluctuations in the near future. On the technical aspect, the structure is still forming, and this week may become critical. Therefore, BTC’s trading behavior relative to the important levels will set the sentiment for the week ahead across the entire crypto market.
Macro-economic factors as well as technical factors are exerting pressure on Bitcoin. For the next several weeks, the result of the 0.5 Fibonacci test and the response to traditional market swings could posture the trend. For now, the traders are advised to be very keen and should engage in trading without prejudices.
