As many know, approximately in November of this year will be the activation of the new Bitcoin update. According to some sources, the update named Taproot, is a proposed Bitcoin protocol upgrade that can be deployed as a forward-compatible soft fork.
By combining the Schnorr signature scheme with MAST (Merklized Alternative Script Tree) and a new scripting language called Tapscript, Taproot will expand Bitcoin’s smart contract flexibility, while offering more privacy by letting users mask complex smart contracts as a regular bitcoin transaction.
For this reason, we want to prepare for this event with error-free analysis for this main asset in the market. While some are selling you smoke, we want to give you the cards on the table so that you can generate high profits in the next few days.
Armed White Soldiers
In the long term, Bitcoin is breaking out of the wave 2 correction and signaling buy with the three white soldiers candlestick pattern. This trend will be confirmed when there is a break in the zone between $ 54,498.24 and $ 60,759.36; where we will possibly see the growth of the last candle of the previously mentioned pattern and the monthly close. Current price of $ 50,445.25 struggles to break through the 0.25 Fibonacci diagonal resistance.
For now we have the positive confirmation of the price to stay above the monthly EMA9 and the 0.7 Fibonacci retraction line. Indicators that now behave as possible supports and the region between 41,277.88 and 45,090.39.
Important sentiment and trend indicators show that on a monthly basis Bitcoin is in a correction rejection zone and that we must be attentive to the breakout of 70 points of the RSI or the fall in strength of the latter.
According to the above, Bitcoin is leaving the oversold zone, but with mixed trends between buyers and sellers. Opportunists of the market under this parameter iran to shop, but the pessimists will wait out of these mixed indicators.
Bifurcation Record Highs
In the medium term, Bitcoin is trying to break past historical highs between the $ 50110 resistances under the Fibonnanci retracement line 0.6 parameter; will look for the breakout of the CKT at $ 51,757.57; and for the next few weeks the touch of the upper Bollinger band at $ 57,386, but with a maximum settlement point between the 0.5 Fibonnanci retraction line and under the exact price of $ 59,734 and with a possible peak at $ 62,649.38, under the parameter of the diagonal line 0.25 of Fibonnanci.
Semally, the possibility of a double top formation is not ruled out, since we are within the wave 5 parameter. However, many are accelerating their purchases due to the trend shown by the MACD and the RSI with almost 60 points.
In any case, we see little volume of initiation for a strong break from the historical maximum, which means being very alert to any eventuality. In addition, we suggest an exact purchase point well above $ 57,999.25. Remember that it is better to take profits with less risk, than to lose for an uncalculated risk.
A Great Opportunity
On the part of our Premium Community we suggest for the next few days the purchase of Cosmos (ATOM/USDT). Technically. this asset is looking for the weekly break in the region between $ 25 and $ 26, with several indicators in favor of a high price appreciation.
Cosmos (ATOM/USDT) will soon go through several important updates that will awaken the buying interest of many high-ranking investors. We know that many are looking for quality over quality and this opportunity is no exception.