BTC bulls failed to claim this week! My Analysis on Bitcoin
Currently, Bitcoin has been ranging from quite a few days which shows the 'confusion' or strong 'thug of war' between the bulls and the bears.
Technically, BTC has tested the support level of around 40-42k$ multiple times which is the sign that despite of this zone being a "demand zone", it is getting exhausted and we need see it break down as there is fear in the market and bears are claiming their strength.
In the weekly timeframe, it is generally considered a warning of bulls if the price closes below the 21 Exponential Moving Average. From a past few week, bulls were claiming their strength by closing the weekly price action above 21 EMA but today, this chance for bull to reclaim their strength has gone in the favor of bears and price has closed below 43500$.
Bitcoin is currently struggling to break the resistance region of 44.6-45.1k$. If it gets successful in breaking and then retesting this region, then we can see a double bottom playing out with the targets till my so-called "sell-wall resistance" region - $48700-$49000. BUT VOLUME IS THE KEY!
If Bitcoin gets strong rejection from this decisive region of 44.6-45.1k$, we can see a strong sell-off here with the support at around $41000 region and the targets will be $38300 region. We can also see a wick down to $34000 region as a result of panic selling. $35-38k region is the high demand zone and BTC can have a strong bullish reversal from this area.
For now, this is the update for Bitcoin Price Action. Comment down your thoughts.
Muneeb
Technically, BTC has tested the support level of around 40-42k$ multiple times which is the sign that despite of this zone being a "demand zone", it is getting exhausted and we need see it break down as there is fear in the market and bears are claiming their strength.
In the weekly timeframe, it is generally considered a warning of bulls if the price closes below the 21 Exponential Moving Average. From a past few week, bulls were claiming their strength by closing the weekly price action above 21 EMA but today, this chance for bull to reclaim their strength has gone in the favor of bears and price has closed below 43500$.
Bitcoin is currently struggling to break the resistance region of 44.6-45.1k$. If it gets successful in breaking and then retesting this region, then we can see a double bottom playing out with the targets till my so-called "sell-wall resistance" region - $48700-$49000. BUT VOLUME IS THE KEY!
If Bitcoin gets strong rejection from this decisive region of 44.6-45.1k$, we can see a strong sell-off here with the support at around $41000 region and the targets will be $38300 region. We can also see a wick down to $34000 region as a result of panic selling. $35-38k region is the high demand zone and BTC can have a strong bullish reversal from this area.
For now, this is the update for Bitcoin Price Action. Comment down your thoughts.
Muneeb
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.