Is this the bounce we have all been waiting for?
Bitcoin just bounced from a multi month support zone that has been forming since December, This is extremely bullish.
A few things that we need to keep an eye on is the green line, this will act as heavy resistance.
This zone is around $60,000 currently. And with every day that passes by, it gets higher and higher.
Before breaking up into the rising wedge we will likely see some very volatile days. But once this happens its game, set, match.
What is the bullish scenario?
After bouncing from the multi month support line, i expect a move somewhere in the region of $56,000 to $57,000
This zone is extremely important as it has been a high traffic area for the last several weeks.
If BTC breaks up and above this zone, we have a very high chance to smash through the green resistance line around $60,000.
Once we get back into the pattern and confirm the upwards momentum there will be a new all time high within a few hours/days of the break.
What is the bearish scenario?
Not something i see happening, but better to be vigilant on both sides of the market so you are ready for it.
If we reject from the resistance box, between $56,000 to $57,000 and get a decent volume supported move towards the downside,
the last hope will be between 3 factors,
1. the 100 day EMA.
2. the 21 weekly EMA.
3. The multi month support MUST hold.
If that doesn't hold there will be some significant downside momentum.
Bitcoin just bounced from a multi month support zone that has been forming since December, This is extremely bullish.
A few things that we need to keep an eye on is the green line, this will act as heavy resistance.
This zone is around $60,000 currently. And with every day that passes by, it gets higher and higher.
Before breaking up into the rising wedge we will likely see some very volatile days. But once this happens its game, set, match.
What is the bullish scenario?
After bouncing from the multi month support line, i expect a move somewhere in the region of $56,000 to $57,000
This zone is extremely important as it has been a high traffic area for the last several weeks.
If BTC breaks up and above this zone, we have a very high chance to smash through the green resistance line around $60,000.
Once we get back into the pattern and confirm the upwards momentum there will be a new all time high within a few hours/days of the break.
What is the bearish scenario?
Not something i see happening, but better to be vigilant on both sides of the market so you are ready for it.
If we reject from the resistance box, between $56,000 to $57,000 and get a decent volume supported move towards the downside,
the last hope will be between 3 factors,
1. the 100 day EMA.
2. the 21 weekly EMA.
3. The multi month support MUST hold.
If that doesn't hold there will be some significant downside momentum.