The time might have come for bulls and bears to show their power in Bitcoin. The 4 - hour, daily and weekly charts have something to tell the investors. As the market ran out of positive narratives when the Bitcoin ETFs got approved. On the other hand, there is a popular source of FUD that arose from GBTC by GrayScale.
The technical charts show the historical performance of Bitcoin and the volume over the last 4 weeks when we had the highest level of volatility after a very long time. Now, whether the bullish trend will continue or the " pre - cycle " period might be totally over is the only concern of the investors.
Let's have a look at the charts one by one.
4 - Hour Chart of Bitcoin
Unfortunately, buy the rumor; sell the news was what many people followed.
Once the price of Bitcoin broke below MA200, it was too hard to break it.
- Interest rates are still high
- GBTC is a strong negative narrative
- A take - profit zone
So, 2 times rejection and current state give us some clues over the importance of $42K+ levels. Personally, I care about the weekly close of today's but I cannot say that I feel bullish about it.
We have a week support from MA20 but deeper levels might be around the corner.
Daily Chart of Bitcoin
I see a cup - handle formation in the daily chart since we had a spike to $48K and retreated from the current levels.
In the case that the formation take place, we need to go deeper in handle part.
The 50 - day moving average, around $37K+, might be the level that the market will gather some power before a new leg of uptrend. This possibility sounds more likely rather than breaking above from today.
After the formation, we may expect Bitcoin to stay in $52K - $59K price channel if the bullish sentiment continues.
Weekly Chart of Bitcoin
Weekly is the most bullish chart for me to consider.
First of all, the order of moving averages motivates me to take a position in cryptocurrencies.
The strength of $30K - $33K is amazing for crypto investors. Besides, the MA20 is around $36,500+ - $37K. This might be a confirmation of the cup - handle formation that I expect.
Also, the world is buying negative news, stable interest rates, global tension etc., and crypto is likely to be the first market to sacrifice. A drop of 5K - 6K may not hurt us if that happens. Make sure that you are managing your crypto bag actively against any possible pump and dump in the market.
What do you expect to see in the price of Bitcoin soon?
Share your insights below 👇
Hive On ✌️