Bitcoin broke a short term descending resistance line.
Daily technical indicators are starting to show weaknesses.
BTC is likely in the fifth and final wave of a bullish momentum.
The price of Bitcoin (BTC) is rising fast since it exceeded the area of $ 15,800 and a falling resistance line from the short term.
While a short-term decline may take place, Bitcoin Trader app probably hasn’t peaked yet.
Bitcoin soars after testing its old resistance
On November 16, the price retested its crossing point of the $ 15,800 resistance. It then created a bullish recovery Japanese candlestick and peaked at $ 16,895, before declining slightly.
Despite the bullish Japanese candlestick and the validation of the $ 15,800 area, indicators in the daily data started to show weakness.
A bearish divergence is developing in the RSI, the MACD has started to decline and the Stochastic Oscillator is not far from forming a bearish cross. This tells us that the price could be approaching a top.
The closest resistance zone is at $ 17,300
The shorter-term, two-hour chart shows that price has breached a descending resistance line, then accelerating its rise.
Although price suffered a rejection near $ 16,800, creating two long upper strands, there is no clear sign of weakness in the two-hour data.
Bitcoin’s price is likely in the fifth and final wave of a long-term uptrend. The latter is expected to push the price up close to $ 17,300 .
The minor tally for the last wave shows that the price is also in its final sub-wave (in black below).
Two separate Fibonacci extensions result in a target between $ 17,283 and $ 17,332. This coincides with the long term resistance zone.