Bitcoin going parabolic into all time highs, people getting euphoric as the chart looks insane but I don't think it will break through on the first attempt. Nothing goes up in a straight line and BTC had many pullbacks following parabolic advance during the previous bull-run of 30-40%.
There's not exactly much horizontal resistance in this area to speak of, besides the psychological ATH level, so I drew some trendlines to try and extrapolate likely scenarios.
Here I consider that between 19k and 20k could be a top followed by a ~30+% correction, which would draw price down to somewhere between 12k and 14k.
I drew three trendlines thicker than the others as I consider them more notable; I find the line drawn from the 3k high in the previous bull-run, through the breakdown point at 6k during the bear market, quite compelling as a resistance. On the support side I have two thicker lines, the first can be seen to hold price up before the drop below 6k and hold price down before the break of 12k on 21st October. The second is a general support line drawn from the 1k high during 2017, which can be seen to hold down price before the break of 4.5k to the upside, and acted as support in the recent uptrend since the COVID capitulation spike. The latter support trendline can be seen to form a channel with the aforementioned likely resistance line, and the two support lines conveniently converge around 12.6k which is where I would be looking to buy heavily in anticipation of the next bull-run.
I could be totally wrong and it just smashes through ATH but if you have been actively trading this, reducing long exposure here is a good idea regardless.
There's not exactly much horizontal resistance in this area to speak of, besides the psychological ATH level, so I drew some trendlines to try and extrapolate likely scenarios.
Here I consider that between 19k and 20k could be a top followed by a ~30+% correction, which would draw price down to somewhere between 12k and 14k.
I drew three trendlines thicker than the others as I consider them more notable; I find the line drawn from the 3k high in the previous bull-run, through the breakdown point at 6k during the bear market, quite compelling as a resistance. On the support side I have two thicker lines, the first can be seen to hold price up before the drop below 6k and hold price down before the break of 12k on 21st October. The second is a general support line drawn from the 1k high during 2017, which can be seen to hold down price before the break of 4.5k to the upside, and acted as support in the recent uptrend since the COVID capitulation spike. The latter support trendline can be seen to form a channel with the aforementioned likely resistance line, and the two support lines conveniently converge around 12.6k which is where I would be looking to buy heavily in anticipation of the next bull-run.
I could be totally wrong and it just smashes through ATH but if you have been actively trading this, reducing long exposure here is a good idea regardless.