A ending diagonal may have just started which could signal the end of this major B wave. A flat correction is forming as shown below:
There is extreme greed right now within the market. There are so many points where you can project extensions from since March so its very subjective on where the B wave will end. There are some projections that could push price to 30-40k. However, the red area in this chart is the area that I've found most confluence.
There are also people saying how we have already corrected and price is going to 100k and beyond, which I don't believe. Structure looks more corrective to me and volume is decreasing which is common in B waves.
Bitcoin is tightly correlated to S&P 500. As COVID cases surge and economic shutdowns are increasing I believe we will see a major trend reversal in both markets in the coming days/weeks. This possible ending diagonal could suck in more potential buyers and create an exit pump in the 21-22k range.
There is extreme greed right now within the market. There are so many points where you can project extensions from since March so its very subjective on where the B wave will end. There are some projections that could push price to 30-40k. However, the red area in this chart is the area that I've found most confluence.
There are also people saying how we have already corrected and price is going to 100k and beyond, which I don't believe. Structure looks more corrective to me and volume is decreasing which is common in B waves.
Bitcoin is tightly correlated to S&P 500. As COVID cases surge and economic shutdowns are increasing I believe we will see a major trend reversal in both markets in the coming days/weeks. This possible ending diagonal could suck in more potential buyers and create an exit pump in the 21-22k range.