Bitcoin today reached a high of right around $3930, a weekly level going back to the original bull run. Since then, we've done nothing but dump all day, reaching lows of $3660 as of the writing of this Idea. Closed this nasty inverted hammer/gravestone doji on the daily and we closed below the POC of this current move from $6k.
We're looking pretty bearish from here, odds are we're coming back down a ways, tough to say how far right now. I'd say at least around $3500 if we wanted to see a potential bullish continuation and a higher low print and a good pullback from this high on day.
Whether the low is in or not remains to be seen, but right now, my gut says it's not and we'll make another low sometime in the near future. If we do break a new low, we're targeting that $2800-3000 zone as the potential new bottom (not forever, just for now).
Short term, we may see a run up to around $3750-3800 as a 'fakeout' bull trap and then come down, but right now, everything points to more downward momentum on the horizon.
We're looking pretty bearish from here, odds are we're coming back down a ways, tough to say how far right now. I'd say at least around $3500 if we wanted to see a potential bullish continuation and a higher low print and a good pullback from this high on day.
Whether the low is in or not remains to be seen, but right now, my gut says it's not and we'll make another low sometime in the near future. If we do break a new low, we're targeting that $2800-3000 zone as the potential new bottom (not forever, just for now).
Short term, we may see a run up to around $3750-3800 as a 'fakeout' bull trap and then come down, but right now, everything points to more downward momentum on the horizon.
Comment:
As it seems (and what I was waiting to happen), Bitcoin rejected $4,000 and has fallen a few hundred. Keep your eyes out if we fail to bounce off $3,700 in which case I think we will fall a lot farther down.
Comment:
Bitcoin is continuing to reject $4,000. Don't think I forgot about the analysis posted the other day, I'm still bearish unless we can hold above $4,000 for a couple of days. Watch closely and consider opening some shorts with tight stop losses. Also some food for thought to throw out there - it is nearly Christmas and New Years. During these holidays, we have historically experienced crashes market wide as people cash out for the holidays (presents, booze, parties). Please be mindful of this time and plan accordingly.