On the 4-hour time frame, it looks like a head and shoulders pattern has formed. This kind of pattern only becomes valid after it has break out and in this case it did. The price target for this is around 51600 area and as you can see it already hit this price. This could possibly be because of the “sell the news” event where Elon Musk announced that he now accepts BTC as a form of payment for Tesla cars. Or maybe it has something to do with the options expiry in a few days.
The price of BTC right now is in my green key level zone and has to stay within this area so that it will not go down any further. The green zone is also in perfect alignment with the 0.5 line of the Fibonacci retracement tool. This is around the 51800 to 52700 price levels. It is also slightly breaking out of my white long term bullish trendline.
If prices go down more, the next price target would be at my orange key level zone which lays with the 0.618 Fibonacci lines. This would bring us back to the 49000 to 50300 price level again.
But I am pretty much still bullish and after this consolidation or sideways movement, our next price target should normalize at the 54000 price zone before heading back up towards the 57000 to 58000 area once again.
I am open for feedback, suggestions and advice. Thanks!
The price of BTC right now is in my green key level zone and has to stay within this area so that it will not go down any further. The green zone is also in perfect alignment with the 0.5 line of the Fibonacci retracement tool. This is around the 51800 to 52700 price levels. It is also slightly breaking out of my white long term bullish trendline.
If prices go down more, the next price target would be at my orange key level zone which lays with the 0.618 Fibonacci lines. This would bring us back to the 49000 to 50300 price level again.
But I am pretty much still bullish and after this consolidation or sideways movement, our next price target should normalize at the 54000 price zone before heading back up towards the 57000 to 58000 area once again.
I am open for feedback, suggestions and advice. Thanks!