BITCOIN RECOVERY TO 40K+ OR BACK DOWN TO 30K?!
Hi guys, this is OG back with another cryptocurrency update. If you find value in my work, please do like, share, and comment. And also feel free to share your ideas and technical analysis in the comments below.
We are seeing another, larger inverse head and shoulders pattern on Bitcoin with the neckline at 34.2K, which price broke above, and gives us a technical target of 41K. Price is now retesting the neckline as possible support. It will be important for price to hold this level and bounce here for bullish confirmation. In yesterday's post (see related ideas), I showed that there was a smaller inverse head and shoulders pattern with a neckline at 33.3K and a target of 38K. If price is able to meet the smaller target of 38K, then it will likely have enough bullish momentum to hit the higher target of 41K. This will once again bring Bitcoin to the top of the range in which price has been trading in since the crash, with 40-42K being the top and 30K being the bottom. If/when price gets there, we will analyze to see if price can breakout to the upside to restart the bull run or once again reverse down to 30K.
In the more immediate term, we really want to see bulls step in a bit more because we haven't seen the large follow through that I'd typically like to see from a head and shoulders breakout. That combined with the options expiry and Elon Musk once again putting out negative tweets about Bitcoin, is reason to be cautious here.
Check out my daily videos for more in-depth technical analysis and trade setups for Bitcoin, Ethereum, and Altcoins. The levels on the downside I will be monitoring are the backside of neckline of the larger inverse head and shoulders pattern at 34K, the most recent swing low at 32.2K, and the right shoulder low of the smaller inverse head and shoulders pattern at 31.7K. I might consider closing my long in small loss/breakeven if price starts to roll over and close below those levels, depending on if we wick there or slowly grind down. In conclusion, Im still bullish, but very cautiously bullish given the risk factors laid out above.
Why follow?
1. Community of Technical Analysts sharing analysis and trades
2. Live tracking of whale wallet movements
3. Live update of the latest important news
4. Live syncing of popular crypto tweets
5. Ebook covering how to be profitable in the cryptocurrency market
As always, I’m not a financial advisor, all information presented is for educational purposes only and not meant as financial or investment advice, do your own research, and stay safe!
We are seeing another, larger inverse head and shoulders pattern on Bitcoin with the neckline at 34.2K, which price broke above, and gives us a technical target of 41K. Price is now retesting the neckline as possible support. It will be important for price to hold this level and bounce here for bullish confirmation. In yesterday's post (see related ideas), I showed that there was a smaller inverse head and shoulders pattern with a neckline at 33.3K and a target of 38K. If price is able to meet the smaller target of 38K, then it will likely have enough bullish momentum to hit the higher target of 41K. This will once again bring Bitcoin to the top of the range in which price has been trading in since the crash, with 40-42K being the top and 30K being the bottom. If/when price gets there, we will analyze to see if price can breakout to the upside to restart the bull run or once again reverse down to 30K.
In the more immediate term, we really want to see bulls step in a bit more because we haven't seen the large follow through that I'd typically like to see from a head and shoulders breakout. That combined with the options expiry and Elon Musk once again putting out negative tweets about Bitcoin, is reason to be cautious here.
Check out my daily videos for more in-depth technical analysis and trade setups for Bitcoin, Ethereum, and Altcoins. The levels on the downside I will be monitoring are the backside of neckline of the larger inverse head and shoulders pattern at 34K, the most recent swing low at 32.2K, and the right shoulder low of the smaller inverse head and shoulders pattern at 31.7K. I might consider closing my long in small loss/breakeven if price starts to roll over and close below those levels, depending on if we wick there or slowly grind down. In conclusion, Im still bullish, but very cautiously bullish given the risk factors laid out above.
Why follow?
1. Community of Technical Analysts sharing analysis and trades
2. Live tracking of whale wallet movements
3. Live update of the latest important news
4. Live syncing of popular crypto tweets
5. Ebook covering how to be profitable in the cryptocurrency market
As always, I’m not a financial advisor, all information presented is for educational purposes only and not meant as financial or investment advice, do your own research, and stay safe!
