BITCOIN The Bullish Megaphone worked and shows $21000 next!

The Bullish Megaphone I posted on my last analysis seems to have best captured Bitcoin's current rebound:



** The Double Top **
The price managed to keep the 4H MA200 (orange trend-line) intact and rebounded exactly on the Higher Lows trend-line. So far it hasn't only crossed above the 4H MA50 (blue trend-line), but is about to test the November 24/25 19450 High. Even if that is a Double Top, the price action within this Megaphone has showed that the 4H MA50 is always there to support wide Double Tops (not narrow such as the November 24-25).


** The RSI **
So if this Resistance breaks, what's next? According to this pattern (others show slight variations) we target $21000. Keep an eye on the RSI which (on this 4H chart) is being rejected on a Lower Highs trend-line, but that doesn't necessarily mean that a rejection will be the Megaphones top. As with the November 18 RSI High, the price didn't make a Top, it made a High and then it slowed down to a more stable Higher Highs/ Higher Lows sequence. So in essence the RSI making a new top on the Lower Highs trend-line may just show tha the trend could slow down and on a lower pace rise towards 21k. Which won't be abnormal as so far the rise from the November 26 bottom of the Megaphone has been very aggressive.


** The 1.000 Fibonacci extension **
So why $21000 in particular? This is due to an underlying Fibonacci sequence within the Megaphone. As you see every time BTC touches the Top of the Megaphone, it is roughly on the 1.000 Fibonacci extension from the previous High (bottom on the measurement being of course the last price contact on the Higher Lows trend-line of the Megaphone). And that Fibonacci extension is around $21000 next.


How accurate do you think this target is? Are you aiming for even higher or expecting the bullish trend to stop? Feel free to share your work and let me know in the comments section!

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