Hey friends, hope you are well, and welcome to new update on Bitcoin.
Channel is broken down:
On hourly chart, the price action was moving in an up channel and now finally, it has broken down the support of this channel.
Head & Shoulder formation:
On a 4hour-chart, the priceline of Bitcoin formed a Head &Shoulder pattern and bounced from the neckline of this H & S pattern. If the neckline would be broken down then the price action of the leading cryptocurrency may reach the $20K level. There are also 50, 100 and 200 simple moving averages supports below the head and shoulder pattern.
An expected re-test of EMAs:
On long-term weekly chart, the price action of Bitcoin did not re-test the exponential moving averages 10 and 21. If the priceline on the 4-hr chart breaks down the neckline of Head & Shoulder formation then it can move further more down to re-test these exponential moving averages on the weekly chart.
Fractals:
On daily chart, after breaking out the fractal resistance the priceline is likely to form different bearish reversal and bullish reversal fractals. Once the priceline will break out the resistance then a further more rally to the upside is expected otherwise it can move down to re-test $20K
Big bearish Butterfly:
On monthly chart, the price action of king of all cryptocurrencies has already completed the bearish Butterfly move and spiked in potential reversal zone, therefore a drop from this PRZ level is possible at any time:
Conclusion:
We need the closing above $24200, that is the resistance of head and shoulder on 4hour chart and the fractal resistance as well, otherwise a rally to the down side can be expected
Channel is broken down:
On hourly chart, the price action was moving in an up channel and now finally, it has broken down the support of this channel.
Head & Shoulder formation:
On a 4hour-chart, the priceline of Bitcoin formed a Head &Shoulder pattern and bounced from the neckline of this H & S pattern. If the neckline would be broken down then the price action of the leading cryptocurrency may reach the $20K level. There are also 50, 100 and 200 simple moving averages supports below the head and shoulder pattern.
An expected re-test of EMAs:
On long-term weekly chart, the price action of Bitcoin did not re-test the exponential moving averages 10 and 21. If the priceline on the 4-hr chart breaks down the neckline of Head & Shoulder formation then it can move further more down to re-test these exponential moving averages on the weekly chart.
Fractals:
On daily chart, after breaking out the fractal resistance the priceline is likely to form different bearish reversal and bullish reversal fractals. Once the priceline will break out the resistance then a further more rally to the upside is expected otherwise it can move down to re-test $20K
Big bearish Butterfly:
On monthly chart, the price action of king of all cryptocurrencies has already completed the bearish Butterfly move and spiked in potential reversal zone, therefore a drop from this PRZ level is possible at any time:
Conclusion:
We need the closing above $24200, that is the resistance of head and shoulder on 4hour chart and the fractal resistance as well, otherwise a rally to the down side can be expected
