BTC Has Held Above The 200 MA For 7 Days! Here's What's Next!
BTC has remained above the 200 MA (in purple) for seven consecutive days now. If BTC continues to hold above the 200, we should expect to see a breakout attempt above the downtrend resistance level (in blue.) However, if we do get an upside breakout attempt, BTC will immediately have to contend with the 21 week MA (in green.)
So, little has changed since the last analysis, other than the fact that BTC is holding strong above this key level. In my opinion, BTC is at a very critical juncture. If Bitcoin can break out above the 21 week moving average (in green,) and hold above that level, it will essentially show us that the breakdown below the 21 week was just an extended failed breakdown. Interestingly, that could be what is happening with the 200 MA (in purple.) You can see that BTC broke down below it, then tested it as resistance on two separate occasions, each time failing to break out above. Then, last week BTC was able to rally above the 200 MA, and we're currently holding above it. So, what we need to see from here, for confirmation, is a return to the upside, preferable followed by a close above the 21 week moving average (in green.) That would show that the 200 held support, and some major upside resistance has been cleared.
On the other hand, if BTC breaks back below the 200, this could simply be a failed breakout attempt above it. Something is bound to happen in the next few days. Either BTC will break above the blue downtrend resistance, or it will break down below the 200 MA. That will be a good indication of what we can expect going forward.
I'm The Master of The Charts, The Professor, The Legend, The King, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-JD-
So, little has changed since the last analysis, other than the fact that BTC is holding strong above this key level. In my opinion, BTC is at a very critical juncture. If Bitcoin can break out above the 21 week moving average (in green,) and hold above that level, it will essentially show us that the breakdown below the 21 week was just an extended failed breakdown. Interestingly, that could be what is happening with the 200 MA (in purple.) You can see that BTC broke down below it, then tested it as resistance on two separate occasions, each time failing to break out above. Then, last week BTC was able to rally above the 200 MA, and we're currently holding above it. So, what we need to see from here, for confirmation, is a return to the upside, preferable followed by a close above the 21 week moving average (in green.) That would show that the 200 held support, and some major upside resistance has been cleared.
On the other hand, if BTC breaks back below the 200, this could simply be a failed breakout attempt above it. Something is bound to happen in the next few days. Either BTC will break above the blue downtrend resistance, or it will break down below the 200 MA. That will be a good indication of what we can expect going forward.
I'm The Master of The Charts, The Professor, The Legend, The King, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-JD-