Every indicator at the moment is screaming overbought and needs a rest, this trend cannot immediately continue, and we are sitting under a resistance. In the short term, price is extremely unlikely we will shoot up. The two possibilities seem to be:
1. Linger around this area for a while to regain momentum. Watch for RSI hitting under 50 and the MACD cooling off. This could provide enough of a rest for buyers to regain confidence and push the price through the resistance. If it does this, it will mark the changing of the mid-term downtrend into an uptrend, and many buyers will enter the market. So far, those buying with fresh money now are only newbies, and this is reflected by the tiny dribble of actual fiat volume lately comparative to crypto traded assets (check any coin aggregation site).
2. We go back down to the support. This makes the most sense. Bitcoin likes to disappoint, and it has a clear pattern in the past of settling in the longer timeframes before making any kind of push. If it decides to go parabolic, it always does it after short periods of rest. I could see us needing to be fairly flat around 7k for a few weeks before we drift up, and this would coincide with both the halving metrics and previous chart patterns during bullruns.
We are still at a critical point here. The chart is telling us we are going down, will fundamentals play out and FOMO kick in? Doubt it, but one more push up would change the game early, and it seems many many buyers are looking to enter on this confirmation.
1. Linger around this area for a while to regain momentum. Watch for RSI hitting under 50 and the MACD cooling off. This could provide enough of a rest for buyers to regain confidence and push the price through the resistance. If it does this, it will mark the changing of the mid-term downtrend into an uptrend, and many buyers will enter the market. So far, those buying with fresh money now are only newbies, and this is reflected by the tiny dribble of actual fiat volume lately comparative to crypto traded assets (check any coin aggregation site).
2. We go back down to the support. This makes the most sense. Bitcoin likes to disappoint, and it has a clear pattern in the past of settling in the longer timeframes before making any kind of push. If it decides to go parabolic, it always does it after short periods of rest. I could see us needing to be fairly flat around 7k for a few weeks before we drift up, and this would coincide with both the halving metrics and previous chart patterns during bullruns.
We are still at a critical point here. The chart is telling us we are going down, will fundamentals play out and FOMO kick in? Doubt it, but one more push up would change the game early, and it seems many many buyers are looking to enter on this confirmation.