Opportunities are here
GOOD DAY, CRYPTO FAM
What a massive sell off we had in the last few days! BTC fell with 15% in a very short period which took the whole market down which led to BLOOD IN THE STREETS.
But, where will this drop take us? Will we break under 15k and form a new bottom? Or will we just consolidate around? Let’s find out ⬇️
Technical analysis bitcoin
Weekly
Let’s start off on higher timeframes first. Having an understanding of what the bigger picture looks like is very crucial.
We can see that we are formed a bearish pattern on the weekly, some, including me would consider this a reversal pattern and some would consider this a bear flag.
A reversal pattern makes more sense imo as this doesn’t look like a bear flag to me at all, but I can be wrong.
If this would be a bear flag then yes, 10-12k could be the incoming targets in the next weeks/months, definitely if we have another black swan event like Covid, this could really push the markets down. But as for now, that’s not the case at all and i like to work key level by key level.
Also, for those who already read my newsletter for a while know that historically it wouldn’t be correct if bitcoin formed a new bottom in the next weeks and months.
My overall target for this current reversal pattern is around 21-22k where i’d love to buy in a lot more bitcoin but of course, for us to get toward those levels it will take a while.
Daily
For now the only thing that would make me short term bullish is a break above 27.3k which would bring us higher toward the 28k regions but on higher timeframe this would be nothing more then a simple retest before likely heading down lower.
Technical analysis ethereum
As always, ethereum will follow bitcoins behavior , its something we should all know by now.
as for now there is nothing that would make me bullish on ETH unless we break above the resistance of 2.1k which imo is not happening any time soon.
short term bullish would only happen if we close above 1685$ which would lead us back to 1800 region but of course, a lot of that behavior depends on bitcoin.
A good first bearish target for me is around 1.5k which would roughly equal BTC hitting around 25k as well.
If we do see a break under 1.5k for ethereum we’ll likely see 1.2k and potentially lower incoming.
What about the alt coins?
alt coins are a total different story so pay attention as this could make the difference.
(A tip I have for everyone is not to look at older altcoins their current ATH and base yourself out of that… many of these alt coins will likely never reach their ATH again.)