1 Hour EMA Ribbon on BTC/USD showing support/resistance on this recent price trend. Last time BTC was above the 1 hour ribbon, it failed to hold above it. Now, we are re-testing a critical price level. If BTC holds 60k and stays above the 1 hr EMA ribbon, odds are good of rallying back to top of the falling wedge target of 67k all time high. Neutral outlook until...
Lower time frame inverse head and shoulders forming with target of 44.8. Also, larger falling wedge target is 49. If this unfolds, BTC will outperform alts in the short term.
Two possible scenarios playing out from a rise in BTC dominance:
Scenario 1: BTC continues downtrend. With each leg down, alts do not recover as well as Bitcoin . Slow bleed for alts....
Bitcoin and the overall crypto market may enter a greater bear market due to these indications:
- BTC formed a rising wedge with declining volume from July '21 to Sept '21 and broke support to the downside on Sept 7 with high volume.
- Started to form lower highs and lower lows after it broke the 43.6k level and rejected at 48.8k (61.8% retracement level).
-...
Bitcoin dominance at similar 78.6% fib level when BTC price dead cat bounced in 2018 and then entered into a bear market.
This would fulfill many trader's bear case scenario of re-testing/breaking the 28k price lows BTC experienced in June 2021.