Bitcoin is found in a GREY zone right now between the 50-day Moving Average (50 MA, in yellow) and the 100 MA (in green).
If you look back to 2018, you will see that after the 50 MA acted as resistance, the price tanked much, much lower. Could this happen again?
Right now, in 2022, we can see the same 50 MA acting as resistance. Granted price did not really touch it yet to confirm this, but the pattern seems to hold.
In December 2021, the 50MA acted as support only to be lost soon after, similar to 2018.
If BTC cannot move above $47k and make the 50MA support once more, we're in trouble.
Historically, BTC ALWAYS reversed at the 200 MA (in blue). As you can see, that is currently just above $20k or a 70% crash from the current ATH.
This seems VERY realistic if this bear market continues.
To invalidate this possibility, BTC really needs to move above $47k soon.
I am not saying we go lower, but I cannot dismiss this possibility, and right now... it seems 50/50 for me.
Considering world events, we could get some serious volatility and anomalies similar to March 2020 Covid crash.
The indicators on weekly appear to turn bullish, so that is promising, but on monthly, the bear market only started and we may need AT LEAST another leg down before recovery.
Place your bests, and make sure to plan accordingly.
Like and follow if you liked this idea!
If you look back to 2018, you will see that after the 50 MA acted as resistance, the price tanked much, much lower. Could this happen again?
Right now, in 2022, we can see the same 50 MA acting as resistance. Granted price did not really touch it yet to confirm this, but the pattern seems to hold.
In December 2021, the 50MA acted as support only to be lost soon after, similar to 2018.
If BTC cannot move above $47k and make the 50MA support once more, we're in trouble.
Historically, BTC ALWAYS reversed at the 200 MA (in blue). As you can see, that is currently just above $20k or a 70% crash from the current ATH.
This seems VERY realistic if this bear market continues.
To invalidate this possibility, BTC really needs to move above $47k soon.
I am not saying we go lower, but I cannot dismiss this possibility, and right now... it seems 50/50 for me.
Considering world events, we could get some serious volatility and anomalies similar to March 2020 Covid crash.
The indicators on weekly appear to turn bullish, so that is promising, but on monthly, the bear market only started and we may need AT LEAST another leg down before recovery.
Place your bests, and make sure to plan accordingly.
Like and follow if you liked this idea!
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