Bitcoin ready for bullish breakout or is it another fakeout?
It’s a new week and we’ve had a pretty hectic week on Bitcoin trading. So, let’s make another analysis here.
Are we bottomed? Are we going to copy the movements of Gold and the previous cycle in which Bitcoin runs towards the halving, assuming a ‘buy the rumor, sell the news’ principle?
It’s pretty much crucial by holding that green zone around $7,500-7,600.
As you can see, we’ve had similar breakouts previously to the upside, causing people to become bullish in to resistance. If price is not able to flip the old resistance as support (which is the $7,500-7,600 area), then I’d expect the price to accelerate south towards the $6,400 and likely even the $5,800 area as next support.
But, given the data around halvings, we should be aiming to see a rally before the halving occurs (in the months before), so a dropdown would make a strange market, right?
In case we are holding here and continue to range for a bit, we would be looking at a copy of February 2019 in which a breakout and a possible $1,000 candle to the upside wouldn’t be strange. Through that I’m aiming for $9,500 and $10,000 ($9,500 is a quite likely short entry, which will probably be blasted through) as targets.
If that repeats, I don’t find it unlikely to be seeing a rally towards $18,000 before the halving as the long term trend is now as well holding again.
Coming to a conclusion, the market is in an interesting period here, aiming for a decisive movement for bulls/bears.
Will be updated next week.
Are we bottomed? Are we going to copy the movements of Gold and the previous cycle in which Bitcoin runs towards the halving, assuming a ‘buy the rumor, sell the news’ principle?
It’s pretty much crucial by holding that green zone around $7,500-7,600.
As you can see, we’ve had similar breakouts previously to the upside, causing people to become bullish in to resistance. If price is not able to flip the old resistance as support (which is the $7,500-7,600 area), then I’d expect the price to accelerate south towards the $6,400 and likely even the $5,800 area as next support.
But, given the data around halvings, we should be aiming to see a rally before the halving occurs (in the months before), so a dropdown would make a strange market, right?
In case we are holding here and continue to range for a bit, we would be looking at a copy of February 2019 in which a breakout and a possible $1,000 candle to the upside wouldn’t be strange. Through that I’m aiming for $9,500 and $10,000 ($9,500 is a quite likely short entry, which will probably be blasted through) as targets.
If that repeats, I don’t find it unlikely to be seeing a rally towards $18,000 before the halving as the long term trend is now as well holding again.
Coming to a conclusion, the market is in an interesting period here, aiming for a decisive movement for bulls/bears.
Will be updated next week.