Crypto LIQUIDATIONS Coming If THIS Happens!! Bitcoin News Today & Ethereum Price Prediction!

Welcome Back to the Crypto Channel: Bitcoin and Ethereum Approaching Liquidation Zone

Welcome back to the Crypto Channel, everyone! My name is Josh, and in this article, we will be discussing the current state of Bitcoin and Ethereum. Both cryptocurrencies are moving closer towards a liquidation zone, as indicated by the liquidation heat map. Additionally, we will explore their short-term consolidation and potential price movements. So, let’s dive in!

Bitcoin Weekly Chart: Confirming the Massive Breakout

On the weekly Bitcoin chart, we are just hours away from another candle close. This candle close will further confirm the massive breakout to the upside that we witnessed over a week ago. The initial breakout occurred above a descending line of resistance, which had been a significant 2-year resistance line. This breakout has already been confirmed for around a week with last week’s candle close. However, additional confirmation is always beneficial.

Seeing the next weekly candle close above the previous line of resistance will further validate the breakout. Apart from the significant resistance between 36k to 38k, not much has changed over the last few days.

Daily Bitcoin Chart: Overbought Territory and Bullish Momentum

Checking the daily Bitcoin chart, the RSI is still in overbought territory. This suggests that we may see some lower highs forming in the next few weeks. However, it is still possible for the price to go higher and form a new higher high, even if we see lower highs in the RSI. This would indicate a bearish divergence.

As for the daily Bitcoin MACD, we are still more bullish than bearish. Although we have seen a slight loss in bullish momentum in the short term, there have been no bearish reversal signals yet. Overall, the trend and momentum on the daily timeframe remain bullish.

Short-Term Outlook: Liquidation Heat Map and Resistance Levels

Zooming into the 1-hour Bitcoin chart, we have recently witnessed a bullish divergence pattern. However, on smaller time frames like the 1-hour chart, these patterns tend to play out for a shorter duration. The RSI has moved closer towards overbought territories, indicating some room for upside potential. However, the liquidation heat map suggests that the price of Bitcoin may move towards the area of liquidations, which is around 34.6k. This area could act as short-term resistance, similar to what we saw in recent price action.

If we see a breakout above 34.6k, there is still significant resistance at around 34.8k to 34.9k based on recent highs. Additionally, there is a horizontal parallel channel forming in the price of Bitcoin, indicating a sideways consolidation. If we confirm a breakout above the resistance, this could set up a bullish flag pattern with a technical price target of around 38.4k, representing a 10% move to the upside.

Ethereum: Falling Wedge Pattern and Resistance Levels

Now let’s shift our focus to Ethereum. On the 3-day ETH to US dollar chart, the breakout to the upside for the bullish falling wedge pattern is still active. As long as we do not see any 3-day candle closes below 1.7k, the pattern and its price target remain valid. The price target for this pattern is around 2.1k. However, there are several levels of resistance to overcome on the way to the target.

On the daily ETH to US dollar chart, an important area of resistance is still present between 1.850 to 1.890. A confirmed breakout above this range could lead to further resistance at around $2,000 to $2,030. In terms of support, we should find it at previous highs, which were previous resistance, around 1.730 to 1.750.

The daily Ethereum price oscillators, including RSI and MACD, are still more bullish than bearish. The RSI is trending to the upside, maintaining a higher low price structure, indicating a bullish divergence. The MACD also suggests a bullish outlook. Overall, the trend and momentum on the daily timeframe remain bullish.

Short-Term Outlook: Sideways Consolidation and Liquidation Heat Map

On the 2-hour ETH to US dollar chart, Ethereum is currently in a sideways consolidation between support at approximately 1.760 and resistance at around $1,850. The liquidation heat map indicates a significant number of liquidations close to the current price, around 1.810. This suggests that the price of Ethereum could move higher towards this level, potentially encountering short-term resistance.

If the price confirms a breakout above 1.810, we could see further upside towards the high end of the sideways range, around 1.840 to 1.850. However, a breakout above 1.850 is needed to set up the price target for the potential bullish flag pattern. The target for this pattern is around 2.1k, similar to the falling wedge pattern on the 3-day timeframe.

Frequently Asked Questions (FAQs)

Q: What is the liquidation heat map?

The liquidation heat map provides insights into areas of potential liquidations in the market. It shows where traders’ positions are being liquidated due to price movements. These areas often act as zones of liquidity, attracting the price towards them.

Q: What is a bullish divergence?

A bullish divergence occurs when the price of an asset forms lower lows, while the corresponding indicator, such as the RSI, forms higher lows. This indicates a potential reversal in the price trend and suggests that bullish momentum may be building.

Q: What is a falling wedge pattern?

A falling wedge pattern is a bullish chart pattern characterized by a contracting range between two converging trendlines. It indicates a potential reversal in the price trend, with higher lows forming within the pattern. A breakout above the upper trendline confirms the pattern and suggests further upside potential.

Q: How can I make money in crypto during different market conditions?

You can still profit from crypto regardless of whether the price is going up, down, or moving sideways. By utilizing strategies such as AI-based trading or taking advantage of choppy sideways price action, you can make money in various market conditions. Check out the videos mentioned in this article for more information on these strategies.

In conclusion, both Bitcoin and Ethereum are approaching a liquidation zone, indicating potential price movements. Bitcoin’s weekly chart confirms a massive breakout, while Ethereum’s falling wedge pattern remains active. Short-term resistance levels and support levels should be monitored for potential breakouts. Remember, there are various strategies to profit from crypto, even in different market conditions. Stay informed and adapt your trading strategies accordingly.