Bitcoin Tests Resistance as Dollar Breakout Fuels Speculation
Bitcoin's price action is being closely watched as it tests resistance levels without a confirmed close. The cryptocurrency has pushed above the 0.5 Fib level and is trading above TBO Resistance, but a daily close above that resistance is not yet confirmed. If BTC closes above it, this could be a strong momentum signal that carries price to the 0.618 Fib level at $93,650.
The author of the article expresses skepticism about this outcome, however, and notes that altcoin dominance warnings are real but weak. The warning is based on a TBT Bearish Divergence as BTC dominance rose, but the rising TBO Slow line conflicts with the divergence and makes the pullback signal weak rather than severe.
The dollar breakout is confirmed, with the U.S. Dollar Index moving above long-term overhead resistance and printing a TBO Breakout. This breakout is seen as an exhaustion breakout rather than a continuation one, with some speculating that a weekly overbought RSI pattern may mark a top.