Hello guys, just a quick update on the ol' Bitcorn.
So we had a big move down from 11.7k to 8.3k and then we created this congestion pattern, which looks to me like a bear flag (and a lot of other people I have talked to have said they think that is what it is as well), and now currently looks like we are going to continue downwards.
In my opinion we will find some strong support at about 7k based on the long term support trendline I have drawn (lowest purple line), but if we fell below that then I would expect panic to really ensue. Here is my analysis:
As you can see whatever the congestion pattern was it seems to be acting as a continuation pattern and it looks like price will indeed break out to the downside. Confirmation of the breakout for me will be if price closes below that lower green line on the 4 hourly (4 hourly closes in 40 minutes). Here is the 4 hourly chart currently:
So what do you guys think, could this be an entire bear year for Bitcoin like it was back in 2014/2015, or will price recover somehow? Let me know in the comments and thank you for reading, have a nice day :)
Edit: Maybe this is a better congestion pattern actually... and so we haven't really broken down yet:
Legal Disclaimer: This is just my analysis and not to be taken as professional financial advice. Do your own research beyond what you read in my blog posts and make your own decisions based on your beliefs about what to invest your money in.