Bitcoin drop over 8% in one day, touched 36 daily moving average. What to expect next?
The 36 moving average is what used in momentum structure analysis (indicator below).
In 2019 rally, BTC pullback 15.4% to 36MA in June, spent 12 days in that range, and then bull break.
This time, it only pullback 8.78%, which I think would spend less time in the range.
So my best guess is that we spend 7 days sticking around 36MA, and then bull break again as early as 2/26.
But, if BTC breaks 9K, it's not fitting to my 'consolidation around 36MA' scenario. That means mid-term consolidation, and I'll look into it in that case.
The 36 moving average is what used in momentum structure analysis (indicator below).
In 2019 rally, BTC pullback 15.4% to 36MA in June, spent 12 days in that range, and then bull break.
This time, it only pullback 8.78%, which I think would spend less time in the range.
So my best guess is that we spend 7 days sticking around 36MA, and then bull break again as early as 2/26.
But, if BTC breaks 9K, it's not fitting to my 'consolidation around 36MA' scenario. That means mid-term consolidation, and I'll look into it in that case.