I thought I would do a simple analysis of the "bitty coin", as it looks ready to take over the world as the reserve currency and number 1 store of value once it can achieve a market cap more than Apple's (lol). This is not financial advice, you should form your own opinions and decisions. I will use round numbers for convenience (precision matters little anyway due to the high volatility).
Bullish case:
A long term channel trend (as I have defined it) is up.
If it falls below 31k then it is probably going to 20k, then maybe 13k
It needs to get above the 50k (or the upper channel region) for a chance to make a new all time high.
I would look for how it reacts to the lower channel line and 31k support level once it likely gets there.
The head and shoulders pattern is so obvious that I wouldn't be surprised if it goes back to 50k.
Bearish case:
It was rejected from the channel middle line and is so close to 31k that it probably will go there.
There is quite a bit of "white space" between the 13k and 29k, where a lot of buy orders may be waiting in a so-called "demand region". This is where regular people (including myself) and small impoverished countries may like to buy. The declining volume since the May 2021 dump is pointing towards further weakness.
Really can't say much more until it reaches one of the two key levels (31k, 50k) and either reverses or breaks through convincingly. In the meantime, good luck to all leverage traders both long and short.
Bullish case:
A long term channel trend (as I have defined it) is up.
If it falls below 31k then it is probably going to 20k, then maybe 13k
It needs to get above the 50k (or the upper channel region) for a chance to make a new all time high.
I would look for how it reacts to the lower channel line and 31k support level once it likely gets there.
The head and shoulders pattern is so obvious that I wouldn't be surprised if it goes back to 50k.
Bearish case:
It was rejected from the channel middle line and is so close to 31k that it probably will go there.
There is quite a bit of "white space" between the 13k and 29k, where a lot of buy orders may be waiting in a so-called "demand region". This is where regular people (including myself) and small impoverished countries may like to buy. The declining volume since the May 2021 dump is pointing towards further weakness.
Really can't say much more until it reaches one of the two key levels (31k, 50k) and either reverses or breaks through convincingly. In the meantime, good luck to all leverage traders both long and short.
Comment:
Seems to be still within the ascending channel, am looking at possible test of the middle line with target at 54516