BTC Price Hits $69K Resistance in Last-Gasp Rally: Sustainable Momentum or Last Dice Throw? (April 1 Update)

Bitcoin followed world stock markets to the upside on Tuesday as US president Trump let it be known that the war could end in two to three weeks. However, with both the S&P 500 and Bitcoin ending the day at strong resistances, will the main corrective moves now resume? Big bounce in S&P 500, but resistance met Source: TradingView The S&P 500 in the weekly time frame shows a rounded top after reaching the upper limit of an 8 year channel. The index came all the way down to the mid section of the channel before a strong bounce higher of nearly 3% on Tuesday. Now that the price has come back and tagged the most important resistance level, it remains to be seen whether the bulls can battle back above it. With the Stochastic RSI in prime position for that bounce, and the possibility of an end to the Middle Eastern conflict, there is certainly the potential for a break back above. That said, there is still the prospect of the price rejecting from here before coming back to confirm the mid channel line as support, or even to the horizontal support at 6,100. Critical resistances met - rejection more likely? Source: TradingView There is a lot going on in the short-term chart for the $BTC price . Firstly, counter to Tuesday morning expectations , the price did rally back into the bull flag, broke through a descending trendline, climbed back above the neckline of the head and shoulders pattern, and got as far as the major $69K horizontal resistance , from where it has so far been rejected. Since then, the price has fallen back below the head and shoulders neckline, and may be in the process of being rejected from here as well, turning this into a confirmation of the pattern rather than negating it. If one looks at the Stochastic RSI indicators in this 4-hour time frame, it is perhaps suggesting that the lengthy 3-day stay at the top might be over, and that momentum could start to fall off from here. How far can the bulls go? Source: TradingView The daily chart illustrates the amount of resistance that the $BTC price is experiencing right now. Firstly, there is the major horizontal level at $69,000. Then there is the neckline of the head and shoulders pattern, and finally, the 50-day SMA is also adding its weight to the resistance . If the bulls can push the price up through this they will have the descending bear market trendline waiting for them, and after all that, the price would still be in the midst of the bear flag. If news out of the Middle East starts to become more positive through the rest of this week, who knows how far the bulls can go? That said, as it stands, a rejection from the current level looks like the more probable outcome. Mixed signals in weekly time frame Source: TradingView The weekly chart gives an intriguing view of the situation. Either the $BTC price is going to break back above the $69K major resistance and through the bear market downtrend, or the bulls are going to fail here and the price will drop out of the bottom of the bear flag and head to the next big level to the downside. The rest of this week really is crucial. $66K and the bottom of the bear flag have to hold. The Stochastic RSI is showing that the indicators do seem to be rolling over , while the RSI indicator is poking its head through the downtrend line . Every time previously that the downtrend broke, this led to a big upside rally. These mixed signals add to the complexity of the decisions that retail, as well as institutional investors, might need to make. It has to be remembered that the bears are still in control. Will this still be the case at the end of this week? Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.