Following the previous idea on Bitcoin, it found the support at the projected area, bouncing off the $5873 low. Bitcoin also rejected the uptrend trendline very cleanly in addition with the 76.4% Fibonacci retracement level, and the price went up immediately.
The first psychological, as well as technical resistance at 10k, was successfully broken and now Bitcoin is facing the downtrend trendline as the current potential resistance. There is no confirmation at this point of the rejection of the downtrend trendline and the price is likely to continue moving higher towards 38.2% Fibs resistance at 13k. If it will be rejected, the head and shoulders reversal pattern could be formed, which means the price will correct back to the 10k support. However, break and weekly close above the 13k resistance should result in an immediate uptrend continuation towards either 17k or 20k resistance levels.
On the downside, two key support levels must be watched, first is a 10k, although the support area extends down to 9k. Second, and key resistance is at 6k, where break and close below $5873 should result in further drop towards 4k area, which at this point seem extremely unlikely scenario.
Comment
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There is still risk bitcoin reaching one of the resistance levels and moving towards 4k
It seems to have popped above the channel. Is that significant?
CryptoPAMM
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@Lain33, it is breaking above the trendline as expected
kwarty
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@hitech hello! Thank you for the chart!
May I ask you one question:
Does the SPX 500 have positive correlation with BTC?
CryptoPAMM
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@kwarty, at some degree yes, since they are both going heavily up in the long term, but I'd say on a shorter timeframes correlation would be very small
kwarty
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@hitech, I should share with you this. You might know about this person and there is more then 20 minutes before the market opening today. The index SPX might drop down these days accoring to fractal analysis
twitter.com/ECantoni/status/965541600507113473
CryptoPAMM
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@kwarty, thank you, but i have no interest in sp500
kwarty
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@hitech, OK) Also NASDAQ COMPOSITE showing the bubble structure btw
ArchieBRO
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@kwarty, Anything not blockchain related trading on the stock market has 0 correlation with BTC whatsoever.
UnknownUnicorn1341494
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do you think it will be that easy to break 1/1 ?
UnknownUnicorn1341494
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the downtrend white line you have drawn matches with 1/1 on log scale