Three possible scenarios with a lot of obstacles on the way. Currently two of these scenarios are bearish. But are we close to a reversal? Let's see the chart. First we need to smash 34.5k resistance level, above 50 MA, and see if we can make it to 37k and break it. If we did, then there should be a retest of that line before we move up to test the next resistance line at around 41.5k. That's a key level. Break this resistance line would definitely be a great sign toward the next bull run. But that 200k bull run will not begin unless we break 45k and smash 60k resistance line along the way. That was the good case scenario.
The bad would be if we don't break 37k and head back down to maybe double bottom at 29k and go back up again. And the nasty would be if we don't even break 35k and go straight for the 25k support line. Our RSI oscillator doesn't look super hyped about our recent move and is showing an ugly divergence. Also, volume is pretty unimpressive for a reversal. So let's keep an eye on these moves.
The bad would be if we don't break 37k and head back down to maybe double bottom at 29k and go back up again. And the nasty would be if we don't even break 35k and go straight for the 25k support line. Our RSI oscillator doesn't look super hyped about our recent move and is showing an ugly divergence. Also, volume is pretty unimpressive for a reversal. So let's keep an eye on these moves.
Comment:
First scenario is playing out wonderfully.
