Bitcoin Rejected at 18K, What is Next?
HELLO all, in my last post, I discussed my view on Bitcoin at a macro level and pointed out based on its history that the usual 4 Year Cycle Low is forming around 52 weeks from the highs followed by 8 weeks of accumulation period. I mentioned about time here, not to exactly predict but to guide us on our analysis and what to expect considering both time and price action.
So now, let's ZOOM OUT and SURF the CHART!
To note, the lows when BTC breakdown from 18k (Red Arrow from the left) is within the 52 weeks timeframe. This is supported with a notable capitulation candle (White Arrow Below) and followed by sideways price action for 2 weeks until printed new lows at sub $15,400 (2nd Red Arrow from Left) then bounce back.
Finally, after 35 days, Bitcon tested the $18200 level and as expected got rejected with a daily closing below MA 50 (orange circle) which also formed an Evening Doji Star candle. This is a bearish sign since that level is a previous support, now turned into a resistance. This could lead to another decline to the mid-range at 16.8k.
Also my notes here: IF Bitcoin failed to recapture MA 50 and flip $18200 in the coming days or week, I consider this a LOCAL price TOP.
If BTC tops here, what's next?
It will further decline, may retest the support at $15500 ( Red Arrow) and I am expecting a bounce in this key level OR clearly moves sideways in this range (Purple Rectangles) for more days ahead to the next LOCAL LOW to happen 3 weeks from now.
Whether it bounces and develops strong support at 15k or breaks below to
13K, Only time will tell.
Till then, I will post another update.
Thank you for reading and appreciating the comments, supporting ideas as well as contradicting ideas.
Surfin ends …
So now, let's ZOOM OUT and SURF the CHART!
To note, the lows when BTC breakdown from 18k (Red Arrow from the left) is within the 52 weeks timeframe. This is supported with a notable capitulation candle (White Arrow Below) and followed by sideways price action for 2 weeks until printed new lows at sub $15,400 (2nd Red Arrow from Left) then bounce back.
Finally, after 35 days, Bitcon tested the $18200 level and as expected got rejected with a daily closing below MA 50 (orange circle) which also formed an Evening Doji Star candle. This is a bearish sign since that level is a previous support, now turned into a resistance. This could lead to another decline to the mid-range at 16.8k.
Also my notes here: IF Bitcoin failed to recapture MA 50 and flip $18200 in the coming days or week, I consider this a LOCAL price TOP.
If BTC tops here, what's next?
It will further decline, may retest the support at $15500 ( Red Arrow) and I am expecting a bounce in this key level OR clearly moves sideways in this range (Purple Rectangles) for more days ahead to the next LOCAL LOW to happen 3 weeks from now.
Whether it bounces and develops strong support at 15k or breaks below to
13K, Only time will tell.Till then, I will post another update.
Thank you for reading and appreciating the comments, supporting ideas as well as contradicting ideas.
Surfin ends …
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