BTCUSD Breaks Out of Parallel Channel: Bullish Momentum on the Horizon

After nearly six months of a challenging downward trend, Bitcoin has provided a positive signal by breaking out of its bearish parallel channel. Since May, the price has moved within this defined channel, with its sensitive boundaries triggering reversals at every test. This breakout marks a significant shift, suggesting a potential end to the downtrend.

The price has now breached the upper boundary of the bearish channel and is expanding upwards, setting the stage for a bullish break of structure (BOS) above the $70,016 level. Should the current bullish displacement continue, Bitcoin could establish new all-time highs, possibly reaching key supply levels in the near future.

Bitcoin Key Levels

Demand Levels:b$63,814.0, $59,209.0, $54,839.0
Supply Levels: $70,016.0, $73,794.0, $80,000.0

What Are the Indicators Saying?

Several technical indicators support this optimistic outlook. The Moving Average (MA) with a period of 9 sits below the daily candles, confirming that Bitcoin is trending bullish. The Hull Butterfly indicator further reinforces this view, showing increasing bullish momentum  with the increasing sizes of the green bars as the price approaches previous swing highs. With the price nearing the critical $70,016 level, a confirmed break above this mark could signal the beginning of a significant bullish phase, potentially leading Bitcoin towards the $80,000 level.

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