1.) The 50/200 day EMA are about to complete a death cross (the 50/200 day MA have already done so, not shown above)
2.) The weekly price action has formed a rising wedge
3.) Price stalled out at the first area of resistance, failing to reach as high as the candle close from July of 2021
4.) Weekly RSI has printed a head and shoulders pattern and looks like it wants to move down. Note that there could be an interim re-test of the neckline that provides a small rally before breaking down.
5.) 12.5k is the next area of support after losing 16.5k.
6.) Volume has gone down as price corrected, indicating weakness.
For Bitcoin to return to bullish, it needs to get back above the 50/200 day EMA and MA, and we should see a strong reaction following the death crosses that quickly cross back over.
2.) The weekly price action has formed a rising wedge
3.) Price stalled out at the first area of resistance, failing to reach as high as the candle close from July of 2021
4.) Weekly RSI has printed a head and shoulders pattern and looks like it wants to move down. Note that there could be an interim re-test of the neckline that provides a small rally before breaking down.
5.) 12.5k is the next area of support after losing 16.5k.
6.) Volume has gone down as price corrected, indicating weakness.
For Bitcoin to return to bullish, it needs to get back above the 50/200 day EMA and MA, and we should see a strong reaction following the death crosses that quickly cross back over.
Comment:
Here's a link to the bullish scenario:
Trade active:
Weekly opened below the wedge - here's the line chart view for more clarity:
Comment:
Updating this chart with a secondary possibility, a double bottom at ~16.2k, bullish chart still in play unless we fall back down into this chart's wedge and lose wedge bottom around ~28k:
Updated Bear chart:
Bull chart:
Updated Bear chart:
Bull chart: