Technical analysis by CryptoPAMM about Symbol BTC: Buy recommendation (8/19/2024)

The long-term Bitcoin trend remains distinctly bullish, highlighted by a powerful breakout above the top of the average-price uptrend channel. This breakout propelled BTCUSDT to a high of $73,881, followed by a significant 33% correction. This pullback found strong support at the 50% Fibonacci retracement level, around the critical $50,000 psychological mark. This price level is pivotal for several reasons.Firstly, it was previously a strong resistance zone that has now flipped into solid support, demonstrating a classic technical analysis principle. Secondly, this level aligns with the concept of equilibrium, based on the Smart Money Concepts indicator, demonstrating a balance between buyers and sellers at this price area. Thirdly, it's the bottom boundary of the average-price ascending channel, adding further significance to this support zone.Moreover, the robust defense of this 50k area by buyers underscores the healthy long-term demand for Bitcoin. This combination of factors suggests that as long as BTCUSDT stays above the 50k support zone, the overall trend will remain bullish. Consequently, the likelihood of a continued price increase outweighs the possibility of a downturn.Looking forward, we expect BTCUSDT to continue its upward trajectory, with a potential target at the previous high near 74k. If this resistance level is breached, the next target could be the 161.8% Fibonacci retracement level, corresponding to the 90k psychological price mark.However, it’s essential to remain vigilant. A sharp break below the 50k support zone could trigger a significant decline, potentially pushing Bitcoin down to the 40k or even 25K support areas. Traders and investors should be prepared for such a scenario, balancing their bullish outlook with prudent risk management strategies.