In the chart you can clearly see that BTC
is holding the support of the rising wedge
for the moment. At the same time it has reached what has been a long-term support and resistance
level to watch out for to gauge price reaction. Additionally we have achieved what many people call the "Golden Crossover" were the 200EMA (black) and the 50EMA (yellow) cross to signify overall long term trends of BTC
; in this case, bullish
over an extended period. Interestingly, the price has historically dropped immediately after the crossover then continued on to provide a bullrun over the next year or two. Additionally, the MACD
seems to be turning down, even AGAINST the price INCREASE over the same period which is a bearish
sign, and the RSI
shows signs of ticking lower as well.
If we push above that immediate resistance then we could very well go to the recent highs or to the top of the current wedge
formation, though I think it more likely we fall to the initial support zone
in the blue rectangle
. If we reach this zone, I also think it is very likely that we trend lower to the sub 4000 lows and retest that bottom near 3000.