In this scenario we have considered the formation of the Crab pattern for BTC/USDT on the daily chart.
The recent correction which led BTC price to fall below $30K price level can be considered as the formation of CD leg of Crab Harmonic Pattern.
In the meantime, a round bottom formation for BTC is going to complete. Necessary to note that, BTC is yet in a descending channel and for a few weeks we have seen the formation of daily candles under the channel midline.
We would take the following possibilities into consideration:
1. Due to the FUD resulted by Gray Scale ETF release, market has the bearish mindset. However, the oscillators confirm that this FUD is not as strong as mid May 2021 FUD.
2. The sales pressure at this level is not much as before, as daily volume indicates lower. It would be better to describe this phase as a part of C phase of accumulation and for sure price is sensitive to retail HODLers sales.
3. The descending channel may resemble lower prices, could be up to $28K area, which can provide good opportunities for new purchases.
4. We expect high volatility in the price for this week as bulls try to get back $31K price levels.
5, Sales pressure will continue by the end of July 2021, and will decrease by reaching to the end of the month as bears will lose the power of sales.
6. August, as also mentioned in our previous analysis, would initiate the resuming phase of bullish move.
Formation of the Crab pattern, will be completed by end of this week, and for the next week we expect the resuming swings for retaking the price zones above $31K.
The maximum TP for this formation is about $38 K, however, we estimate it for August 2021.
The recent correction which led BTC price to fall below $30K price level can be considered as the formation of CD leg of Crab Harmonic Pattern.
In the meantime, a round bottom formation for BTC is going to complete. Necessary to note that, BTC is yet in a descending channel and for a few weeks we have seen the formation of daily candles under the channel midline.
We would take the following possibilities into consideration:
1. Due to the FUD resulted by Gray Scale ETF release, market has the bearish mindset. However, the oscillators confirm that this FUD is not as strong as mid May 2021 FUD.
2. The sales pressure at this level is not much as before, as daily volume indicates lower. It would be better to describe this phase as a part of C phase of accumulation and for sure price is sensitive to retail HODLers sales.
3. The descending channel may resemble lower prices, could be up to $28K area, which can provide good opportunities for new purchases.
4. We expect high volatility in the price for this week as bulls try to get back $31K price levels.
5, Sales pressure will continue by the end of July 2021, and will decrease by reaching to the end of the month as bears will lose the power of sales.
6. August, as also mentioned in our previous analysis, would initiate the resuming phase of bullish move.
Formation of the Crab pattern, will be completed by end of this week, and for the next week we expect the resuming swings for retaking the price zones above $31K.
The maximum TP for this formation is about $38 K, however, we estimate it for August 2021.