Follow the ARCS on this chart. Price will likely stay within the HEAVY MAGENTA arc level and collapse back to levels below $6000 over time. Unless some event drives price higher, the reversion trade to levels near or below $6000 is the most likely outcome.
Brad what is to stop it from dipping as low as say $3260 or so? After all that area is also in the heavy magenta arc. Looking at the arcs I fail to see a meaningful pattern of any kind indicating any moves in any direction that can be used to forecast price action. Is there something we're missing? Thank you.
BradMatheny
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@cryptospawn, It could fall that low in price theory. Price theory dictates that price is always seeking out new highs or new lows - all the time. Thus, any move below 9650 would constitute a "new bearish price trend". Price would have to rally above the recent high, 13800, to be considered bullish.
Once the downside move begins, price will seek out a relative support level based on investor sentiment. My belief is that 5600 is the level to watch based on previous price levels. But it could certainly fall further. $3260 is not out of the question.
pegonzi
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sorry bro, but this analysis does not make any sense. I would never trade anything based on this
BradMatheny
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@pegonzi, That is the great thing about these posts/messages, you get to make YOUR OWN DECISION about what you do with YOUR MONEY. Good luck.