BTC daily technical indicators are bullish.
There are two support, at $ 11,740 and $ 11,340, and resistance at $ 12,340.
The course is probably in the fifth wave of impulsive training.
On September 1, Immediate Edge review suffered a rejection from the $ 12,000 zone and has since been in retracement.
The price will likely show a new attempt to overtake this area. This time, he is expected to make it through.
Resistance converted into support
On September 1, Bitcoin’s price rose significantly, creating a bullish Japanese recovery candlestick that took it to above $ 11,740. This same area was showing resistance from the bearish Japanese recovery candlestick on August 25th. In the future, it should serve as a support.
The closest resistance is at $ 12,340, while support will likely be at $ 11,340.
Technical indicators are bullish, as highlighted in BeInCrypto’s September 1 analysis . Likewise, the Stochastic RSI eventually formed a bullish cross, in addition to moving up and out of the oversold zone.
The price has been rising since August 27, after hitting a local low of $ 11,112.
The upward movement continued until August 27, when the price peaked at $ 12,062. Since then it has been in decline. At the time of publication of this article, BTC is trading near the $ 11,725 area which may start a turnaround.
This is indeed a minor support area and the 0.618 Fibonacci level of the last upward move.
There are hidden bullish divergences in the RSI, and the Stochastic RSI is oversold. That said, there is no clear sign of a turnaround in the time-to-hour scale yet.
In the September 1 analysis , BeInCrypto wrote that the price likely started a Wave 5:
Using the length of waves 1 through 3, we can deduce that wave 5 will likely end up near $ 13,100 or $ 14,169. These are Fibonacci levels 0.618 and 1 from waves 1-3. A decline below the bottom of wave 4, located at $ 11,117, would negate this wave count.
This fifth wave is formed by a smaller formation in five sub-waves (in blue), shown below. The course is in the third sub-wave, which has expanded and contains another five-wave formation (in orange).
If price drops below the low of the second minor sub-wave, at $ 11,515, as well as below the support line of the parallel channel, it would negate this sub-wave count.
In conclusion, the BTC retracement will likely end near $ 11,700. The price is then expected to resume its upward movement.