So, it looks like the big pump we had that was caused by a short squeeze and strong resistance levels is seeing some resistance here.
Many traders are calling for levels as high as 4500, 5100, and even 6k. It appeared to me before that we had a bull flag with a big bear trap, but then this even bigger BULL trap came along and I'm left not knowing what to think. If you are wondering what my overall view is on Bitcoin, you can read my previous analysis. But the main point to consider is that no matter how fast we can retrace in this move up, if we are below 6k then the overall trend is bearish because there will be no higher high. The other fundamental factor that could halt this run is how strong alts are looking, so more money may be going directly into them, rather than into Bitcoin. Especially considering how increasingly easy it is to buy alts directly from fiat with all these new coins being added to coinbase and the recent introduction of USDC on Binance.
I have two main scenarios here: Bullish or bearish:
The bullish scenario is we are in fact painting a bigger bullish pennant with that "bull trap" region and this was part of the plan all along.
The bearish scenario is we make a bigger ABC correction down after the move up, and the higher targets will no longer be in play.
Hope you enjoyed this quick analysis! Please consider following/ leaving a like and happy Christmas!
-Etch
Previous analysis:
Many traders are calling for levels as high as 4500, 5100, and even 6k. It appeared to me before that we had a bull flag with a big bear trap, but then this even bigger BULL trap came along and I'm left not knowing what to think. If you are wondering what my overall view is on Bitcoin, you can read my previous analysis. But the main point to consider is that no matter how fast we can retrace in this move up, if we are below 6k then the overall trend is bearish because there will be no higher high. The other fundamental factor that could halt this run is how strong alts are looking, so more money may be going directly into them, rather than into Bitcoin. Especially considering how increasingly easy it is to buy alts directly from fiat with all these new coins being added to coinbase and the recent introduction of USDC on Binance.
I have two main scenarios here: Bullish or bearish:
The bullish scenario is we are in fact painting a bigger bullish pennant with that "bull trap" region and this was part of the plan all along.
The bearish scenario is we make a bigger ABC correction down after the move up, and the higher targets will no longer be in play.
Hope you enjoyed this quick analysis! Please consider following/ leaving a like and happy Christmas!
-Etch
Previous analysis:
