50 Week moving average has been broken: What is the next?
Updated
Hi Everyone,
Welcome to this analysis about Bitcoin.
In the last publication, I raised my concern about losing 50 Week Moving Average, indicating that this will cause significant consequences for Bitcoin. Since then, Bitcoin has dropped more than 30%, and I believe that the ultimate bottom is yet to be found. However, it can’t just go down sharply from 47K to below 20K. Even in the Bear market, we need to see a bounce back before the next move to the downside. Currently, bitcoin is sitting at around 37K, just above its 100 Week Moving Average, as well as 50% Gann’s level, which can be counted as a strong support level in the mid-term. Therefore, Bitcoin can bounce back from this current level to 47K , but the major resistances at 40K and 43K levels should also be considered for taking profit. In summary, I speculate that bitcoin will stay between 50 WMA and 100 WMA for some weeks/months before breaking down the 30K level, finding its base at just below 20K, and then start to take off by the end of 2022.
Thanks,
Ali.
Welcome to this analysis about Bitcoin.
In the last publication, I raised my concern about losing 50 Week Moving Average, indicating that this will cause significant consequences for Bitcoin. Since then, Bitcoin has dropped more than 30%, and I believe that the ultimate bottom is yet to be found. However, it can’t just go down sharply from 47K to below 20K. Even in the Bear market, we need to see a bounce back before the next move to the downside. Currently, bitcoin is sitting at around 37K, just above its 100 Week Moving Average, as well as 50% Gann’s level, which can be counted as a strong support level in the mid-term. Therefore, Bitcoin can bounce back from this current level to 47K , but the major resistances at 40K and 43K levels should also be considered for taking profit. In summary, I speculate that bitcoin will stay between 50 WMA and 100 WMA for some weeks/months before breaking down the 30K level, finding its base at just below 20K, and then start to take off by the end of 2022.
Thanks,
Ali.
Trade closed: target reached
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