Bitcoin traders eye a tactical RALLY as US election polls shift.

Institutional Crypto Research Written by Experts

Author

Markus Thielen
August 20, 2024

👇1-13) Bitcoin attempted to rally yesterday but couldn't break out of its triangle formation. However, with shifting election odds (this chart is a must-see) and a slightly favourable risk-on environment, Bitcoin might try to break higher again. Still, significant risks loom, possibly leading to a correction later in September before a potential rebound by year-end.

Bitcoin failed to break above the decline trendline - another attempt?

👇2-13) All three of our reversal indicators show a strong rebound, with momentum outpacing their slower-moving averages—an encouraging sign that market technicals are improving. A rally towards $65,000 is within reach. However, we will closely follow the direction of the triangle breakout. Risk management remains critical.

👇3-13) As expected, following the sharp declines around the August 5 crash, there's limited long exposure in perpetual futures. Ethereum's open interest has remained relatively unchanged, while a small short position in Bitcoin could be covered, potentially pushing prices higher. On the bright side, derivatives positions are no longer overextended, unlike in late July when overleverage corrected inevitable.

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