Market outlook: What to expect from BTC this week. 

The crypto market experienced Mini bullish momentum last week. As the price of BTC traded at the $17,000 region without going lower. 

Traders are expecting the opening candle for this week to be a bullish candle so BTC can continue to soar above the $17,000 region 

But there’s also a probability that this week might not be bullish as everyone expects, rather there are two possible scenarios that might happen this week. 

So in this Article, we’ll be talking about what to expect from BTC this week.

One-day price chart of BTC

Looking at the one-day chart of BTC, The price of Bitcoin is currently trading at $17,300 price continues to show bullish momentum. 

However, The reason for this bullish movement for the price is to fill up the fair value gap(FVG) at the $20,000 region. 

But the price won’t trade up to that point directly, it would need to decline a little bit and trade lower regions on smaller timeframes to clear liquidities below before trading to its intended direction. 

Where is BTC heading to? 

There’s a Fair value gap in the 1-day timeframe which is known as a price magnet in trading terminologies. 

Whenever there’s a Fair Value gap on the chart, It tends to draw the price of the asset to fill up the gap in between, 

That’s why it’s known as a price magnet. 

As seen on the chart, The price of BTC is heading towards the fair value gap to fill it up, Then trade back down in a bearish momentum. 

4-hrs chart of BTC

Taking a closer look into the 4-hrs chart of BTC, 

It shows that BTC has found a new support zone at the $16,800 region as the price rallies up with a few bullish candles.

This support zone confirms that the price of BTC Is going to be bullish this week. 

However, if the support zone fails to hold BTC and price trades below the $16,300 region, things might become crucial for bitcoin. 

BTC forms a Double Top pattern 

Another reason to confirm the expected bullish movement from BTC is the price of Bitcoin has also created a double bottom chart pattern in the 4-hrs timeframe. 

And it’s known amongst traders that whenever there’s a double bottom pattern, it indicates bullish momentum on the chart. 

Because chart patterns don’t play out 100% of the time. 

But This current chart pattern is formed on a 4-hrs timeframe which makes it look more valid because the higher the timeframe, the higher the possibility.

Traders bias 

There are millions of traders in the world, with thousands of trading strategies.

Most traders would be aiming to pick their point of interest (POI) and enter a long position trade at the bottom resistance line of the chart pattern before they engage, but Smart money concept(SMC) traders would be aiming to pick their point of interest (POI) from an order block below before they engage. 

The price of BTC is expected to decline lower to pick up orders of futures traders before going up to fill the Fair value gap above.

Conclusion 

The bullish momentum in BTC has given the crypto market some sort of relief after the bear market crash due to the whole FTX saga last month. 

Meanwhile, other traders speculate that this entire bullish movement might be false, which may be a big manipulation from the market makers to trap traders in long positions to take out their liquidities.

As the volume indicator displays a low amount of trading volume in the spot market.

While expecting the price of BTC to be bullish this week, it’s also best to anticipate bearish momentum also and prepare to close our long positions and prepare ourselves to short Bitcoin.