Bitcoin: A New Year's Gift? Engulfing Zones Signalhello guy!
First of all! Happy New Year!
I believe in a long position here! Why? let's explain it!
Engulfing Zones:
The term "engulfed" on this chart represents price levels where strong price movements absorbed opposing orders, marking areas of liquidity shifts.
The most recent engulfing level near $93,500 is a critical pivot. It has established itself as a short-term resistance point to watch.
Support Zone:
The shaded region around $91,000–$92,000 has consistently acted as strong support, with multiple rejections confirming its significance.
This zone is crucial for maintaining the current bullish structure.
Resistance Levels:
First Resistance: $93,500–$95,000, which aligns with prior engulfing price action.
Major Resistance: $97,271, marking the upper boundary of the consolidation range and a potential breakout zone.
Trend Structure:
The chart suggests a building bullish structure, with higher lows forming. This indicates buyers are gradually stepping in at higher price levels.
Potential Breakout Setup:
The chart projects a bullish breakout above $93,500 and a test of $95,000. A sustained move above $95,000 could pave the way for a rally toward $97,271.
____________________________________
Scenarios to Watch:
Bullish Scenario:
A breakout above $93,500 confirms momentum toward $95,000. Clearing this resistance opens the path to $97,271 and possibly higher levels.
The continuation of higher lows supports the bullish outlook, provided the price remains above $91,000.
