Welcome to this update-analysis about Bitcoin, we are looking at the 4-hour timeframe perspective, the recent events, the established formational structure, and what we can expect within the upcoming times. As mentioned in previous analysis Bitcoin moved on to form the important right shoulder of this massive head-and-shoulder-formation I discovered with Bitcoin to pullback bearishly within the upper strong resistance-cluster, when you did not see this analysis already I highly recommend it to watch to have a full-depth-overview, also the right-shoulder situation is matching with the more local timeframes I illuminated, therefore we are looking at the underlying important levels and where the journey is heading now.
As when looking at my chart we can watch there how Bitcoin now pulled back bearishly exactly within the strong resistance-cluster which confirmed now fully as such, this gave Bitcoin the edge to continue with the right shoulder developments now and therefore we see Bitcoin moving below the 30-EMA in red which it also recently confirmed as resistance, the next meaningful EMA, in this case, will be the 140-EMA marked in blue in my chart also matching with the neckline and the major decision-zone lying there where Bitcoin will proceed to form the final decision whether the head-and-shoulder-formation completes bearishly to the downside or bullishly to the upside.
Taking all these factors into consideration now we will see Bitcoin moving into the major decision-zone upcoming times as it is marked in my chart, when Bitcoin moves into it has to be elevated if Bitcoin does not show up with serious bullishness there or not, when this does not happen and Bitcoin increases the bearish pressure possibly with high volume also this will indicate the bearish continuation, overall it will be important to keep patient and wait for the right confirmation, when Bitcoin closes bearishly below the neckline it will complete the formation to the downside otherwise with a stabilization above the neckline it can indicate a breakout to the upside, the right validation will be telling before moving into the final direction.
In this manner, thank you for watching the analysis, have a good day, and of course good trading, all the best! "Good luck is when opportunity meets preparation."
Information provided is only educational and should not be used to take action in the markets.
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