BTCUSDT: Ready to Increase Strongly From 65k Support Zone?
2024-10-22

Alright, team, let's break down what we're seeing here on the BTCUSDT 4-hour chart. The setup is clean, and it's showing some exciting potential moves.

Key Observations:
EMA 34 Reversal - Bullish Bias: Notice how the 34 EMA (blue line) has flipped direction, signaling a shift in momentum. This is a strong bullish sign, especially after that breakout from the descending channel (marked by the diagonal black lines). It's clear that buyers stepped in aggressively, pushing BTC out of that bearish structure.

Resistance Rejection: However, we got rejected around the 69k area, evidenced by that red arrow at the peak. The price failed to break this key resistance zone, leading to the current pullback. This rejection was expected, as we've seen previous reactions at similar levels.

Potential Support Zone: The price is now heading towards a crucial support area around the 65,000 - 66,000 USDT zone, which also aligns with the 89 EMA (purple line). This zone (highlighted by the blue box) is a solid confluence of support, as it previously acted as resistance, and now it's flipping to support.

What's Next?
Scenario 1 - Bullish Continuation: If BTC bounces off the support zone (around 65,000), we could see a strong bullish reaction, pushing the price back towards 70,000 and potentially higher. The EMAs are in a bullish alignment, and the market sentiment is still leaning towards buyers dominating. This move would align with the broader uptrend we're witnessing.

Scenario 2 - Deeper Pullback: If the support zone fails and the price breaks below 65,000, we could be looking at a deeper correction down towards the 63,000 level, as marked on the chart. But with the current strength in the market, I lean more towards the bullish scenario.

Final Thoughts:
Right now, all eyes should be on how BTC behaves around that 65,000 zone. If buyers step in strongly, we're in for another leg up. But stay cautious—watch for any signs of weakness in case we get a fake-out before a deeper pullback.

Keep those stop losses tight, and as always, trade with conviction!