Bitcoin, Testing The Range Once More, This Are Important Levels!

Hello Traders Investors And Community, welcome to this update-analysis where we are looking at the recent events, current price-structure, and what we can expect from bitcoin the next hours and days. As I already mentioned in previous analysis bitcoin was moving in this important descending channel formation where it builds a consolidation and a possible H%S formation which now confirmed to the upside and took out the remaining middle resistance which was a huge factor for a high momentum move. Furthermore, I pointed out that there is still remaining important resistance in the structure which highly likely confirm as those which exactly happened right now, if you did not watch this analysis I highly recommend it to you by going at my account, furthermore it is great to watch that our elite channel is making worthwhile profits also in such difficult market environments where good setups are not a sure thing to rely on, regarding to the current situation there are some interesting signals which I discovered in bitcoin that will affect the bitcoin price in a high possible way, therefore we look at the 4-hour local timeframe as we can deduce much important information from this also in perspective on the higher timeframes such as the daily or weekly perspectives.

As you can watch in my chart bitcoin is still trading in this massive descending channel formation which you can see in my chart marked in blue, this formation currently serves as the reference point for a bullish or bearish breakout in destiny. As bitcoin at the moment trades above important support zones such as the 400-EMA in red, the 200-EMA in black and the middle line support, which whereby the way resistance levels before that bitcoin now successfully has taken out and confirmed to the upside are important levels which hold the price up to and when they are broken there is a higher possibility given for a continuation to the downside. Now as bitcoin fell onto these levels and testing them as the support we can expect a stabilization in price here with a continued upside movement to test the upper boundary of the massive channel as you can watch it marked in my chart. This test will be an important turning point because it will decide whether bitcoin will succeed in a bullish movement to the upside or show bearish pressure to the downside finally falling apart important support lines and to the downside.

What is important to notice is that when bitcoin manages to move above the huge descending channel upper boundary and confirms above the still important resistance there it can cause an increase in price and finally bullish movement in the growth zone you can watch marked in my chart, remember that it is highly important that bitcoin takes out the upper boundary sustainable with a decisive volatile move because when it does not and bitcoin stays in the channel this can indicate more bearish signs and a fall back to previously established levels. Considering this bullish scenario it is highly important for bitcoin to hold on to the 8900 levels you can watch marked in black in my chart because when bitcoin does not hold it and closes below it this will confirm the bearish scenario here and a visit of even lower levels. We will see what the bitcoin is developing to us but at the moment the bullish scenario is more likely as the support levels outweighing the resistance levels and bearish environmental details but we should keep patient, wait for confirmation, and do not just rush into the market.

The current time is a time for bitcoin where it has to decide if the established bullishness seen since the corona-breakdowns can hold on or not, considering this it is important to keep in mind that a possible second wave of infections can hit all global markets similar to the scenarios seen in march this year as the cases still increasing this possibility is not from the desk, in comparison to the stock-market the total bullish continuation and bear-market-invalidation scenario is still not completed for sure as smart-money still staying out of the market this can just be a bigger bull-trap which can also affect the bitcoin price. Technically speaking there needs to confirm several levels to the upside and when the real economy is growing again it will provide a healthy environment for stocks to grow that can affect the other markets also, these decisions will show up in the next months this year and therefore it is important to prepare also for the reverse perspective and a possible bearish environment with more downside pressure as there are still many roadworks which aren't solved at the moment. Now this does not mean bitcoin is totally complete bearish but it can show a possible correction and paradigm-shift on the middle-to-long-term.

In this manner, thank you for watching, support for more market insight, have a great day and all the best to you!
Keep the market past in mind, it can develop profitably in the present.

Information provided is only educational and should not be used to take action in the markets.

Comment:

Initial Analysis According The Subject (4-Hour Timeframe)

Comment:

Bitcoin bounced to the upside and currently testing the 200-EMA I mentioned.