With the way Bitcoin has been bleeding the last few weeks, we are running out of support levels, a historically strong support level has always been the 200MA.. i think this may be the last line of defense, and here's why:
Taking into account all of the recent FUD has been proven to be pretty unfounded, and the fact that lightning network is quickly approaching; i think this is a very probable scenario
- 1. Take a look at the long term trend line from 1800's ( Bright Green ) - It intersects perfectly with the 200MA @ 7800's - and to me, if we get there; means we will have returned to a more normal and stable trajectory
2. Upon tapping the 200MA we would be forming the head of a very large inverse H&S ( shown above )
3. We would also be forming the "A" point on what would technically be a "Bearish" Butterly, but this would still take us higher
4. The extrapolated leg of the inverse H&S , and the critical "D" leg of the Butterfly , seem to both intersect right at the .382 fib extension - 14460
5. There is a massive triangle forming with the downtrend from all time high, and the "uptrend" if you will.. from 1800's - and this could be a likely breakout scenario
6. If this did hit 14460, it would signify a pretty clean break of the current downtrend from the All Time High and i think the bulls will have officially taken back the reigns.
Taking into account all of the recent FUD has been proven to be pretty unfounded, and the fact that lightning network is quickly approaching; i think this is a very probable scenario