Peak Bitcoin? Could Bitcoin rotate much lower?

The recent breakup of Bitcoin may have elated some traders with signs of new life in a very tired downtrend. Yet, my analysis shows this might be a false move prompted by all of the Bitcoin Bulls that were waiting for any new fresh signs "the patient is still alive". After a fairly mild rally, a new price peak was established in line with my time/price cycle studies and aligned quite well with my Tesla Arc studies. This leads me to believe weakness may drive Bitcoin price much lower over the next 30+ days.

As you can see from this chart, a much longer term Pennant formation is setting up and it is not uncommon for false breakout moves to happen near the apex. We call these "washout" highs or lows as they are designed to sucker in traders that believe the breakout is valid while they stop-run traders that have very tight stops. After the move is over, the real trend takes over and can often surprise traders that just got suckered in or stopped out.

Unless something dramatic changes in the global markets where Bitcoin is suddenly seen as a safe alternative to the global equity markets, I believe we will continue to see Bitcoin drift back below $6k and eventually settle near $4200 before establishing any new rotation. If you are a Bitcoin believer, hold onto those dreams as these cryptos may become a suitable solution for investment in the future. Right now, they are just speculation.