Using the `Bars Pattern` bar-copying drawing tool, I've copied the capitulation of the may drop through the top of first bullish impulse after the re-accumulation.
It is so far following the same proportional timing and volatility for each wave / pivot point in the sequence we saw in the summer of 2021.
It could deviate at any time, but it's definitely something worth keeping an eye on! Last time that re-accumulation ended with a bear trap that lead to a huge extended short-squeeze / pump event.
If this pattern plays out you would want to buy the sudden bullish momentum after a sudden and failed dip below local horizontal supports.
The first target would be the major resistance zone as shown by the rectangle and sub-level-lines within and then we would let the market reassess if it wants to continue which we can determine by what fib level of a retrace holds as support.
Last time it was a 38.2% retrace when it finally bounced and broke above 0% as seen here:
It is so far following the same proportional timing and volatility for each wave / pivot point in the sequence we saw in the summer of 2021.
It could deviate at any time, but it's definitely something worth keeping an eye on! Last time that re-accumulation ended with a bear trap that lead to a huge extended short-squeeze / pump event.
If this pattern plays out you would want to buy the sudden bullish momentum after a sudden and failed dip below local horizontal supports.
The first target would be the major resistance zone as shown by the rectangle and sub-level-lines within and then we would let the market reassess if it wants to continue which we can determine by what fib level of a retrace holds as support.
Last time it was a 38.2% retrace when it finally bounced and broke above 0% as seen here:
Circled in red here is the would-be confirmation of 43k as new resistance leading to a likely dip into a lower range.
Green shows a fakeout (bull-spring) of the support that would be another step in the fractal from the summer and likely lead to a bullish impulse up to test or smash-through the resistance above us.