BTC: Makaveli🦍& The Bitcoin Bulls,Next TA $68k, But Beware of..Hello!😊, its me the Gorilla Trader again🦍...welcome to Makaveli & The Bitcoin Bulls Technical Analysis.
It's easy to make money in a bull market right, but what happens when things starts to slow down?
You start experiencing choppy moves, and this moves can get you easily frustrated with trading, considering how volatile the crypto market can get at times. Change can strike at any time but there is always a warning sign that shows you when this will happen like when the bulls force is loosing power.
Right Now on btc, The bulls still have strength in them but I do see some signs of weakness building up gradually on the weekly chart so don't see them going far from 68k before a catastrophic Bears thunder strikes them down and here is my reason why.....
I see that there is a gap yet to be filled to complete the bulls leg to the sellers line, This gap is most likely around 68k and I do strongly see bulls making another attempt at that 62k resistance but that will not come without a fight from these bears.
We see that even though we have a new all time high at 61800, The bulls got rejected and their tails got pulled back down to 54k support area.
A quick look at the weekly chart....Lets look at the weekly candlesticks formations,
It looks like we have a weekly candle that can change the fate of the bulls, see for yourself...
*First observations(Bulls Next Move)
I see these bulls will be attempting the 60k to 62k resistance one more time by closing the current weekly candle above the 60k resistance, this will give bulls the force needed to attempt the 68k to 70k sellers line but I doubt that they do have the force needed to make it above this resistance as this will most likely to be a tough crack. It's that simple, the bulls have to hold above my midline(blue line) of the channel to stay relevant or get smack down if they fail to hold up to 54k to 56k support as new home.
A deeper look in....
I see that Last week candle tried to breakout of the 60k resistance but got instantly rejected by this current weekly candle, Now this current weekly candle closing will either confirm this 60k breakout or confirm it's rejection.
we have two case scenarios that I see that could play out base on the past last big two bar current weekly candle forming
Considering the fact that 3 weeks ago, btc gave a two bar bearish reversal candle on weekly chart, this could have strong effect on the trend if this weekly candle currently forming now ends up as a rejection as well.
this will be bad for bulls as they will get pushed down as far down as $42k to $38k but we do have some support at 48k up to 52k so this could likely jump in to rescue the bulls.
this is what this will look like..
This is absolutely not good as we will see more sideways(consolidation) afterwards....If this happens then this is a sign that we will likely soon be seeing a change in the market structure as we will be seeing bears starts jumping in mass number.
For me I already started taking some profit out at 61k so just incase the bulls starts messing up by showing more signs of weakness.
Should you be shorting?
For me, I won't short just yet until I see a clear change in the market structure on at least 4hrs chart.
Currently all that we have been seeing so far are the bulls market structure(Higher Highs and Higher Low)
Of which shorting such market will only distract you from chasing the big bags as anyone shorting a clear bull market is likely to get rekt but because its a channel(two sided trading) shorters can escape if you got skills, and if you are not so good at switching positions loosing is easy.
what defines a bears market structure is lower low, and Lower highs and this most be printed on a higher time frame to actually affect the market trend negatively.
Being too early can cost you lots more than being patient and wait for a clear confirmation of short, I intend switching to the Short side ones Bears starts to leave footprints behind(Bear market structure), on lower timeframe it can only act as a pullback.
I do see Bitcoin going back to $16k and that will be the a much perfect short than loosing more trying to be right when the market clearly shows you the otherwise.
Supports to WATCH OUT for if these bulls fail to hold the 54k to 56k support:
*48k to 46k support
*42k to 38k support(major support)
Thanks for reading, Like and Subscribe. happy trading.
