Bitcoin started bearish into the first week of 2022
The price has moved sideways during the Weekend and hasn't shown either a bullish or bearish strength.
We are currently facing a significant level for bitcoin between 40k - 41k (green zone).
The support zone has shown strength and has been a fundamental level since January 2021.
Possible scenarios
Price pulls back to 45/46k ish crosses that resistance level and trades back up to the low 50s.
Price pulls back to 45/46k ish and gets rejected. Price will then try to break the major support zone again and will likely breakthrough.
Price keeps trading sideways until Wednesday and then crushes in a fast market move through the support level due to the consumer price index.
My Opinion
If we see some early strength on Monday, I will stand by until we approach the 45/46k ish level and try to short from there.
If we see a sideways continuation, I will place short positions on the top side of the channel and prepare myself for the breakthrough on Wednesday.
The price has moved sideways during the Weekend and hasn't shown either a bullish or bearish strength.
We are currently facing a significant level for bitcoin between 40k - 41k (green zone).
The support zone has shown strength and has been a fundamental level since January 2021.
Possible scenarios
Price pulls back to 45/46k ish crosses that resistance level and trades back up to the low 50s.
Price pulls back to 45/46k ish and gets rejected. Price will then try to break the major support zone again and will likely breakthrough.
Price keeps trading sideways until Wednesday and then crushes in a fast market move through the support level due to the consumer price index.
My Opinion
If we see some early strength on Monday, I will stand by until we approach the 45/46k ish level and try to short from there.
If we see a sideways continuation, I will place short positions on the top side of the channel and prepare myself for the breakthrough on Wednesday.