Wyckoff Theory suggests “The Spring is in” for the Bitcoin price


  • Bitcoin price is seeing bullish candles following several fakeouts this month.
  • BTC price needs one upswing to justify the macro thesis.
  • Invalidation of the bullish scenario is a breach below $37,650

Bitcoin price back and forth nature spells for a Wyckoff accumulation in play. Traders should expect more up-trend with games and fakeouts along the way.

“The spring is in”

Bitcoin price has been a complicated chart to swing trade as the “original cryptocurrency” has experienced several erratic trend changes within the last few weeks. On a psychological level, the fakeouts and traps could justify an accumulation phase implemented by smart money. Analyzing the technicals, it seems the low point (meant to shake out traders) of the accumulation, also known as “the spring,” may have occurred.

Bitcoin price currently trades at $40,300, a level intraday traders should be very familiar with. Analyzing the Relative Strength Index, the bulls could be increasing in momentum. If the Wycoff methodology plays out, the bulls will continue to see uptrend rallies with brief retracements into significant key levels this month. 

TM/BTC/4.28.22

BTC/USDT 4-hour chart

Traders willing to take an early risk should consider an intraday trading plan accompanied by a dollar-cost average approach to maximize potential profit and manage risk. The ultimate target for Bitcoin price still resides somewhere in the $51,000 zone to complete the Wave D of the macro Bitcoin triangle.

Invalidation of the bullish thesis is now the swing low at $37,650. If the bears can suppress the Bitcoin price back to this level, consider $34,500 as their next target resulting in a 15% dip from the current price.

 


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