BTC/USD Daily TA Cautiously Bullish

31 May 2022

BTC/USD Daily cautiously bullish. *Bear Market Rally is underway and 30k support appears to be the short-medium term bottom.* Recommended ratio: 75% BTC, 25% cash. Price is currently breaking out above $30507 resistance after bouncing from the 50/50 uptrend line from March 2017 at 29.5k; it was testing this uptrend line for twenty consecutive sessions. Volume remains moderate (low) and surged yesterday as Price broke out to the upside (invalidating a descending triangle). Parabolic SAR flips bearish at $27120, this margins is neutral at the moment. RSI is currently testing a critical resistance at the descending trendline from January 2021 (51) after reclaiming the uptrend line from January 2022 at 44 as support; if it can break above the descending trendline from January 2021, it will likely test the uptrend line from November 2018 as resistance at 54. Stochastic remains bullish and is currently trending up at 99.75 as it quickly approaches a test of max top (101). MACD remains bullish and is currently trending up at -1206; it is still technically testing -1435 resistance. ADX is currently trending down at 37 as Price is trending up, this indicates that a reversal or retracement is underway and is mildly bullish. If Price is able to continue surging, the next likely target is a test of the 50 MA at ~35k. However, if this surge was actually a Dead Cat Bounce/Bull Trap then a retest of $30507 support and the uptrend line from March 2017 at 29.5k is likely (with potential to fall much lower). Mental Stop Loss: (one close below) 30k.