We have a very important level at about $52 500 it is the .618 fib level and an accumulation level. You can also say it is the top part of a rising wedge.
This makes 3 resistance forming a very strong resistance as you can see from the strong rejection when we first touched it. Also, in the RSI there is a channel that is looking a bit weak.
The CCI has a bearish divergence. This supports the idea of there being a double top.
One last thing is the last correction from $42k touch the top of the megaphone to the bottom for a 30% correction for about 19 days.
This correction has only been 10 days so far and 25%.
You must remember that in the last correction we first went down 28% up 33% then down again 27% to touch the bottom of the megaphone and complete a 30% correction.
(scroll back in the chart and see)
Bearish scenario:
If we get rejected from the top of the rising wedge/ $52 500 area there is a good chance we will break down from the wedge.
And some price targets:
Accumulation level: around $46k
Resistance from 2013+2017 to $42k high turn support: around $43k to $45k
Last price target based off bottom of megaphone and time of the last correction: $40k (this will also complete a 30% correction)
Bullish scenario:
We are looking for a break past $52 500 and close at least a 4h candle there.
If we do this, we can look for bitcoin to go $55 000+ (upper target $63k to $70k)
Overall:
I have closed some of my longs and I am waiting for some confirmation.
Comment what you think and follow if you liked the idea.
Also look at the related ideas or click it on the chart.
This makes 3 resistance forming a very strong resistance as you can see from the strong rejection when we first touched it. Also, in the RSI there is a channel that is looking a bit weak.
The CCI has a bearish divergence. This supports the idea of there being a double top.
One last thing is the last correction from $42k touch the top of the megaphone to the bottom for a 30% correction for about 19 days.
This correction has only been 10 days so far and 25%.
You must remember that in the last correction we first went down 28% up 33% then down again 27% to touch the bottom of the megaphone and complete a 30% correction.
(scroll back in the chart and see)
Bearish scenario:
If we get rejected from the top of the rising wedge/ $52 500 area there is a good chance we will break down from the wedge.
And some price targets:
Accumulation level: around $46k
Resistance from 2013+2017 to $42k high turn support: around $43k to $45k
Last price target based off bottom of megaphone and time of the last correction: $40k (this will also complete a 30% correction)
Bullish scenario:
We are looking for a break past $52 500 and close at least a 4h candle there.
If we do this, we can look for bitcoin to go $55 000+ (upper target $63k to $70k)
Overall:
I have closed some of my longs and I am waiting for some confirmation.
Comment what you think and follow if you liked the idea.
Also look at the related ideas or click it on the chart.
Comment:
I think one of these is going to happen. If you opened a long at my first target as of right now I think we will go to about $50 000 but watch closely we can still go down.
