I posted a slightly more detailed "idea" similar to this on the BinanceUS Charts, so this will be a shorter version of that theory.
By simply taking a bars-pattern (seen as the green bars) copied from June 15th, 2021 to July 16th, 2021, and flipping this pattern BTC might see a retrace to at least 40 thousand by mid-August. This theory (in my opinion) makes sense for several reasons, listed below are just a few:
Assuming the-bulk of mining rigs in China might have been shut down (somewhere) between the time-framed mentioned above (June 15th) BTC would see a drop in price naturally; some reasons being the miners themselves having to sell some Bitcoin to support the transition (and overall fear of the markets future being a major reason as well.) Assuming some of the mining rigs are starting to operate once again, we would see the exact same pattern in price movement reversed for the next month as the-bulk of those mining rigs become operational again and some miners start to re-collect their sold BTC.
Other factors would also lean towards a more Bullish sentiment as well. Bitcoin and the crypto world all-around have seen an influx of investors (this past year being a major tipping point for the market.) Major adoption by not only institutional investors but most recently countries will bring new interest/real world use cases (transactions.) Blockchain technology is showing a promising future (for multiple use-cases.)
Additional Notes to consider: The Federal Reserve is releasing a "white paper" on CBDC (Central Bank Digital Currency) sometime in September (expect additional volatility during this time.) Stimulus checks (and the current child tax credit being sent out) could lead to inflation in the economy overall. The RSI is showing an interesting down-trend. Assuming that the above theory is correct, BTC might see a re-trace back to a low of $28K (possibly at the beginning of August.) If Bitcoin does see a re-trace back down to 29-28 thousand, I would expect that to be the "low point" on the RSI indicator as well followed by the break-out (possibly a good time to buy.) Reasons for the drop back down to 28k:
1.) sellers trying to get out of the trade.
2.) "whales" buy point would almost-definitely we at this price target (below the rounding psychological number of 30k.)
3.) A drop down to 29-28 thousand would also support the theory of the RSI continuing to drop (before the expected breakout.) However, seeing a slow but constant rise in the RSI would indicate a Bullish move.
*this should be seen purely as a "Trading Journal" and not any kind of financial advice.
By simply taking a bars-pattern (seen as the green bars) copied from June 15th, 2021 to July 16th, 2021, and flipping this pattern BTC might see a retrace to at least 40 thousand by mid-August. This theory (in my opinion) makes sense for several reasons, listed below are just a few:
Assuming the-bulk of mining rigs in China might have been shut down (somewhere) between the time-framed mentioned above (June 15th) BTC would see a drop in price naturally; some reasons being the miners themselves having to sell some Bitcoin to support the transition (and overall fear of the markets future being a major reason as well.) Assuming some of the mining rigs are starting to operate once again, we would see the exact same pattern in price movement reversed for the next month as the-bulk of those mining rigs become operational again and some miners start to re-collect their sold BTC.
Other factors would also lean towards a more Bullish sentiment as well. Bitcoin and the crypto world all-around have seen an influx of investors (this past year being a major tipping point for the market.) Major adoption by not only institutional investors but most recently countries will bring new interest/real world use cases (transactions.) Blockchain technology is showing a promising future (for multiple use-cases.)
Additional Notes to consider: The Federal Reserve is releasing a "white paper" on CBDC (Central Bank Digital Currency) sometime in September (expect additional volatility during this time.) Stimulus checks (and the current child tax credit being sent out) could lead to inflation in the economy overall. The RSI is showing an interesting down-trend. Assuming that the above theory is correct, BTC might see a re-trace back to a low of $28K (possibly at the beginning of August.) If Bitcoin does see a re-trace back down to 29-28 thousand, I would expect that to be the "low point" on the RSI indicator as well followed by the break-out (possibly a good time to buy.) Reasons for the drop back down to 28k:
1.) sellers trying to get out of the trade.
2.) "whales" buy point would almost-definitely we at this price target (below the rounding psychological number of 30k.)
3.) A drop down to 29-28 thousand would also support the theory of the RSI continuing to drop (before the expected breakout.) However, seeing a slow but constant rise in the RSI would indicate a Bullish move.
*this should be seen purely as a "Trading Journal" and not any kind of financial advice.