Basically I'm seeing an obvious Bear Flag pattern which has been building the past few days and best seen on a 1 Hour / 4 Hour chart.
I'm expecting a push higher to the 24k area, and then a rejection there which will be followed with more selling pressure down to the lower support range, which ultimately breaks and heads lower to the 300 week Moving Average now around 17k where we should see some kind of relief rally and Bull Trap price action higher.
However, with all the terrible economic news and an increasingly likely full basis point rate hike later this month of 1%, we'll see the markets head markedly lower with Bitcoin heading down to test it's 400 week Moving Average for the 1st time in it's history.
I'm also thinking that we'll break below that and test the psychologically important 10k level, and a likely Market Maker induced price drop below that to either cause or as part of a final capitulation move to the last remaining unfilled CME gap around $9750 to really flush out all of the retail buyers, and even triggering more liquidations before we finally put in a bottom around here.
Let me know your thoughts, comments, and feedback below!
Looks a great bear flag, i will wait for breakout and jump in the retrace!
Bahoz87
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what if it break upside?
BrettFogle
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@Bahoz87, BTC would have to trade up AND close above $25,000 for me to believe we're in for a relief rally up to 29K to 30k range where it would likely roll over to re-test recent lows and either put in a higher low, or a lower low toward the $16,500- 17k area.
Above 33K BTC I'd be looking for a rapid push higher to the 40k resistance zone.