BTC- bearish scenario/deeper correction for shake out weak hands
Welcome to this analysis about BTC . We are looking at the daily timeframe perspective, the recent events, the established ending diagonal formational structure with multi bear divergences and what we can expect in the coming days. BTC has broken down ending diagonal formation with confirmation as you see, it has broken down 71 days strong support uptrend for further movement to weekly moving averages/21 EMA and 34 EMA/ for deeper correction. It's time for shake out and make weak hands to sell their BTC, make BTC more interesting and give an opportunity new buyers to enter the market. I expect 2 scenarios.
1st one.
BTC will move up to the next resistance 60-62,000$, at the same time it will test 71 days diagonal support trendline/the bottom part of the ending diagonal formation/ or at any moment from this point/58,000$/ I expect a deeper and healthy correction to 21 weekly EMA that hasn't been tested for 34 weeks. It is the longest period of time in BTC history. More likely we'll see a strong bounce from that point and continue our uptrend to new ATH/ 80,000$, 100,000$, 120,000$ maybe more higher/.
2nd scenario.
If 21 weekly EMA can't hold and stop a coming selling pressure, the next support zone will be 34 weekly EMA. I pay attention to these moving averages because they are fib numbers. Will be better if BTC consolidates a little bit in 57-61,000 ranges before expected dump to give a room alts. BTC dominance will drop to 36-40% giving place to many alts.
I think after this big rally we need to see a healthy correction to 21 or 34 Weekly EMAs for further move up and at the same time BTC will drag XRP, Ether and many Alts down as they should see pullback and correction too.
1st one.
BTC will move up to the next resistance 60-62,000$, at the same time it will test 71 days diagonal support trendline/the bottom part of the ending diagonal formation/ or at any moment from this point/58,000$/ I expect a deeper and healthy correction to 21 weekly EMA that hasn't been tested for 34 weeks. It is the longest period of time in BTC history. More likely we'll see a strong bounce from that point and continue our uptrend to new ATH/ 80,000$, 100,000$, 120,000$ maybe more higher/.
2nd scenario.
If 21 weekly EMA can't hold and stop a coming selling pressure, the next support zone will be 34 weekly EMA. I pay attention to these moving averages because they are fib numbers. Will be better if BTC consolidates a little bit in 57-61,000 ranges before expected dump to give a room alts. BTC dominance will drop to 36-40% giving place to many alts.
I think after this big rally we need to see a healthy correction to 21 or 34 Weekly EMAs for further move up and at the same time BTC will drag XRP, Ether and many Alts down as they should see pullback and correction too.