Targets for a 6 month swing on break from the handle are 1.272 and 1.618 fib extensions. However, if you zoom out you can see we are in an even bigger cup and handle breakout.
It's been a wild ride. Bitcoin downside range has been met and now we've formed something that we can work with. We have a powerful reversal setup on our hands. If we can break above the neckline and clear our 180 day directional moving average (red line) the bulls will be back in control. To support the reversal pattern we are seeing, the US Dollar Index $DXY...
Inflation fear is the highest it's ever been. The Fed printed 22% of US Dollar Supply in 2020. I'm leaning towards breakdown of support for the US dollar, and one last big rush into assets. However, the dollar will eventually recover but it will come at an expense to assets. If the housing market and other assets go into a decline after the rush, wouldn't cash...
We are seeing a pennant and inverse head and shoulders on 4h time frame of Total Altcoin Market Cap. Powerful reversal setup. Meanwhile, US Dollar Index $DXY is at support in an environment where inflation is a huge fear. I expect a breakdown of the Dollar, leading to one final huge rush into assets as peak inflation fear erupts.
