Welcome to this analysis where we are looking at Bitcoins 1-Hour timeframe perspective, the recent events, the current formational structure, what we can expect the next times and how to possibly handle the situation in the right manner. Recently bitcoin has shown heavy declines to the downside almost exaggerating and moving into the previous where it now touching the structure and somewhat manages to stabilize, a big question now is if Bitcoin just setting up to follow up with further declines or Bitcoin manages to stabilize in the structure and forms a stabilization and continuation. Overall the perspective should definitely not be kept by side here as the bearishness coming in was just to strong to just underestimate nor should we overspeculate a rally which is leading into the resistance layers above.
When looking at my chart you can watch there Bitcoin now bounced at the lower boundary of this huge possible head-and-shoulder-formation where it also confirmed the 180-EMA marked in red as support, besides that it is testing the 100-EMA marked in green which was previously supported, these two reference points are important here and when Bitcoin manages to move above the 100-EMA decisively and close there the right shoulder will be formed which will lead directly into the dynamic-resistance-cluster marked in my chart in red where not only the middle-line-resistance is lying but also horizontal-resistance by past price-action which will be the origin of the right shoulder forming within a high likelihood spectrum.
The upcoming times it will be important how Bitcoin reacts into the dynamic-resistance-cluster and how strong the pullback and right shoulder forming will be then when this is a swift move to the downside Bitcoin is likely to follow up and confirm the whole formation to the downside which will happen by a possibility of 65% and with the close below the neckline and as it is marked in my chart, what is coming then also is the EMA-crossover-signal that is likely to emerge and will give the next edge. The less likels scenario will show up when Bitcoin somewhat manages to hold the neckline and bounce up from there, here is it from high importance that Bitcoin really bounces with the proper move and closes above the upper right shoulder to continue, for now, it will be important with what pace the right shoulder is forming.
In this manner, thank you everybody for watching, have a good day as well as good trading, all the best!
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Information provided is only educational and should not be used to take action in the market.