Bitcoin holds key support, Eyes breakout again

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

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• BTC's Open Interest has increased to new highs, whilst the Funding Rate is positive but still contained. This suggests that a lot of leverage has been applied recently, but that it's evenly balanced between Longs and Shorts.

BTC's open interest (by USD value):

Technical analysis

• Bitcoin remains in its main uptrend after having broken out to new all-time highs.
• To the downside, the key zone of support is between $105,000 and $106,900. Price has remained above this zone, and used it as support several times already. This is the key level for price to hold.
• Below $105,000, the major horizontal support level is at $98,900.
• To the upside, the all-time high of $111,900 is the horizontal resistance. Beyond that, $120,000 is the next horizontal resistance.
• Over the last few days, BTC has been range-bound between $107,000 and $110,000. A period of consolidation is healthy during larger uptrend patterns.
• The RSI has pulled back from overbought territory, and a period of resetting this metric is positive. However, the RSI is now below its moving average, which is also overbought.

• Next Support: $106,900
• Next Resistance: $111,900
• Direction: Neutral/Bullish
• Upside Target: $120,000
• Downside Target: $98,900

Cryptonary's take

After breaking out to new all-time highs, BTC has remained range-bound at the highs, whilst the overall amount of leverage has increased, it is not yet in frothy territory.

As all-time high breakouts go, this is a healthy breakout. This suggests that there could be more upside to be had in the near term following a small period of consolidation in the very short term. BTC's move continues to be supported by strong ETF flows and a weakening Dollar backdrop.

Our near-term price target for BTC is $120,000. This kind of BTC breakout will likely bring many more opportunities across the rest of the space, which we'll be on the lookout for and keen to take advantage of.