Bitcoin: Bearish Sentiment and 50 000$ as Main Target

In order to better understand how Bitcoin and the whole crypto market is going to move during the next months, I offer you to look at the daily chart. Just to make clear, nobody knows exactly how the market will move tomorrow, in a week and a month. But we can think about possible market movements and use them for planning our future trades and managing active positions.

1. The weekly chart shows us that the market is in a bullish trend. The price is above MAs. We have a bullish structure.
2. The price could update the ATH at 64 854$, and now we have a new one.
3. The price bounced from 69 000$, and we got a reversal candlestick pattern at the resistance. It is a bearish signal. You can look at the price action around the previous ATH and how the price moved after that.
4. It is obvious that the market is in a correction mode. It is fine! And it tells us that we should be ready to see the further downward movement to MAs. Why? Because MAs are the obvious targets for the bears in the bullish market. You can look at the previous corrections and the price action at MAs.
5. RSI confirmed the price reversal, and now it gives a bearish signal. The same goes for MACD histogram.

If we combine all 5 points, we can make the following conclusion:
The BTCUSD market stays in the bullish trend, but now we have a correction movement from the ATH. The nearest target for the bears is MA with 20 period, 53 000$ local support/the previous swing high, 50 000$ round-number support, and the local uptrend line. It is likely the major support area where we should be ready to see the price within several days/weeks. It is likely that the price will bounce from the major support, and we will see a new upward wave with the main target at the ATH.

An alternative: if the price breaks the major support, it will give a bearish signal with the main target at 40 000$, it is the previous swing low. A breakout below the previous swing low will change the bullish structure into the bearish, and we will have all reasons to talk about the bearish market.

I keep watching for the price action t 55 000$ using the daily and hourly charts. I'm ready to see the further downward movement and use bullish setups between 53 000$ - 50 000$ points. And what about you? Do you have long positions? How are you going to manage them? What do you think about the current situation in the market? Please, share your thoughts in comments below.

I want to believe that the information in this post will help you to plan better your future trades. I will be grateful if you support my work here with your LIKEs and comments. It costs nothing for you, but for me, it gives motivation to continue sharing my trading ideas and thoughts.

Comment:

What is interesting? In the daily chart, we are going to get a reversal signal from 55 500$. We just need to get a bullish candle. RSI and MACD are going to confirm the price reversal and a possible upward movement to MAs at least. A breakout above MA50 and MA20 after that will open a road to the ATH.

It is a good example showing the difference in the sentiment and signals in different time frames. If the weekly chart supports bears, the daily chart looks more bullish.