BTCUSD holds above $20000 on upbeat market sentiment. The weak US economic data and surging inflation could dampen aggressive rate hikes by Fed. It hits a high of $21178 at the time of writing and currently trading around $21046.
Factors to watch for Bitcoin price action-
US markets -
NASDAQ (positive correlation with BTC)- Mixed (neutral for BTC). The index is consolidating after a minor pullback. Any close above 12200 confirms a bullish continuation.
US bond yields (Bullish)-Negative for BTC. US 10-year yield gained more than 8% from the minor bottom 3%.
Technicals-
Major support- $19980. Any break below will bring an end to the bullish trend, a dip to $17000/$15000 is possible.
Bull case-
Primary supply zone -$21520 (200-H MA). The breach above confirms minor bullishness. A jump to the next level of $23000/$24850/$25400/$27000 is possible.
Secondary barrier- $32500. A violation above that barrier targets $37000/$40000.
It is good to buy on dips around $20000 with SL around $17000 for TP of $30000.
