BTC Rally Likely for 2021: Get Ready for the Bullish Breakout

• Bitcoin [BTC] prices climbed from $16.5k to $23.7k in January before retracing to the $21.6k support level in February and then rallying hard to the $25.2k resistance.
• A breakout past the resistance from July would likely see large gains relatively quick, but bulls must be cautious as there is a chance of a deviation before a downturn.
• The spot CVD has made higher lows over the past month, indicating sustained buying pressure which could lead to a breakout past $25.2k.

Bitcoin [BTC] Price Rally

January was a solidly bullish month for Bitcoin [BTC]. The prices climbed from $16.5k to $23.7k, retraced to the $21.6k support level in February and then rallied hard to the $25.2k resistance level where it currently stands awaiting further gains or a deviation before a nuke or consolidation before pump decision by traders and investors alike..

USDt’s Dominance Falls

Alongside the crypto market rally, USDT’s [Tether] dominance fell, which meant Bitcoin’s rally was reflected across the altcoin market as well – setting up potentially large gains if BTC breaks out past its July resistance level of 25K .

Bullish Structure Unbroken

Looking at it from a market structure perspective, we can see that BTC has only made higher lows since it moved above 17K back in January – thus keeping this bullish structure unbroken at present time . Additionally, the RSI has remained above 50 since January suggesting that bulls are still dominant in terms of sentiment and trend direction .

Spot CVD Indicates Sustained Buying Pressure

The OBV also showed declining levels during pullbacks but rising levels during rallies suggesting no divergences between price action and OBV data – pointing towards sustained buying pressure that could push BTC price beyond 25K if successful . Additionally ,the spot CVD (convexity divergence) has made higher lows over recent months adding further weight to this argument .

Risk Management Crucial For Buyers

Risk management needs to remain top priority for any buyers however as there still exists potential for deviation prior to any nuke or pump decisions – with June’s drop from 28K down 22K taking only 3 days as an example of how quickly things can change direction .