Why We Should Be Wary of the Bitcoin Rally

9 февр. 2022 г.

Bitcoin has retraced from highs at our target of 45K. Exactly as we anticipated in the reports yesterday, we are finding support in the 43K handle, with two strong levels at 43.1K and 43.8K. The Kovach OBV has dropped off, and was not too strong too begin with, signalling skepticism in this rally. We are still not convinced Bitcoin can hold these levels, and if not, then we should see further support in the 41K's then again at 40K. If we are wrong and we see another leg to this rally, then we must first solidly break 45K before establishing value at higher levels. We will see strong resistance just above our target at 45K, but if we can break through that, the next target is 47.4K.