BTC/USD - History really does repeat itself - Next stop $10,000
Hello everyone.
You may have been seeing a lot of FOMO posts that promise 110%+ returns in incredibly short timeframes if you don't go all in on BTCUSD now, well, while observing the daily BTCUSD chart, the descending channel trend is yet to be broken and we remain bearish. I want to note some points:
The current trend forming is incredibly familiar. We can see that before BTCUSD capitulated below $30K, there was a support level trend, as seen: a,b,c,d. This same exact trend is being observed now. Just before the collapse, volume was increasing and the bulls were tricked into believing the trend is now upwards. It was not. What had happened is the macroeconomics stepped in to give everyone a sense of reality. The fed was, and still IS, increasing their rates, inflation is rampant, war is getting worse, and cost of living is becoming a living nightmare for most people around the world, housing crisis, etc, etc; thus the outcome. The support level d has been confirmed on the short TF as MACD is turning bearish.
Additionally, the price level has failed to break resistance level required to continue its uptrend at $25,000. It also rejected the crucial weekly TF logarithmic support of $22,000. This all shows incredible weakness in BTCUSD, and that buyers still remain on the sidelines expecting a further drop.
A bearish flag is being formed, which I have estimated is targeting $10K-$13K based on the last few drops. This could be invalidated if the price can break $25,000 on the weekly, breaking the resistance and forming a bullish bias.
It is important to be rational in times of extreme uncertainty and economic turmoil. Trade safe.
You may have been seeing a lot of FOMO posts that promise 110%+ returns in incredibly short timeframes if you don't go all in on BTCUSD now, well, while observing the daily BTCUSD chart, the descending channel trend is yet to be broken and we remain bearish. I want to note some points:
The current trend forming is incredibly familiar. We can see that before BTCUSD capitulated below $30K, there was a support level trend, as seen: a,b,c,d. This same exact trend is being observed now. Just before the collapse, volume was increasing and the bulls were tricked into believing the trend is now upwards. It was not. What had happened is the macroeconomics stepped in to give everyone a sense of reality. The fed was, and still IS, increasing their rates, inflation is rampant, war is getting worse, and cost of living is becoming a living nightmare for most people around the world, housing crisis, etc, etc; thus the outcome. The support level d has been confirmed on the short TF as MACD is turning bearish.
Additionally, the price level has failed to break resistance level required to continue its uptrend at $25,000. It also rejected the crucial weekly TF logarithmic support of $22,000. This all shows incredible weakness in BTCUSD, and that buyers still remain on the sidelines expecting a further drop.
A bearish flag is being formed, which I have estimated is targeting $10K-$13K based on the last few drops. This could be invalidated if the price can break $25,000 on the weekly, breaking the resistance and forming a bullish bias.
It is important to be rational in times of extreme uncertainty and economic turmoil. Trade safe.