Bitcoin Weekly Analysis - Is a Plunge to $40,000 on the Horizon?
Introduction:
Bitcoin has been experiencing significant volatility recently, with prices fluctuating within a well-defined ascending channel. As we approach the end of the week, traders are closely monitoring key support and resistance levels to gauge the next potential move. This analysis delves into the critical levels to watch and the possible scenarios that could unfold in the coming days.
🔍 Analysis:
If Bitcoin closes this week's candle below the middle line of its ascending channel, it has the potential to correct down to the bottom of the channel, reaching around $40,000. However, it might find strong support around the $52,000 area during the decline.
This strong support zone is the confluence of the remaining volume from the last uptrend and Bitcoin's long-term trend line, which keeps traders hopeful for a bullish continuation from this area.
📊 Key Levels and Indicators:
💪 Strong Support at $52,000: This area is crucial as it intersects with the volume node from the last uptrend and Bitcoin's long-term trend line, providing significant support and hope for a bullish reversal.
🔑 Primary Support Zone ($39,700 to $44,500): This zone has the highest potential to reverse the price back upwards.
🛠 Tools Used:
📈 Fibonacci Retracement: Drawing the Fibonacci retracement on the last upward wave, this primary support zone lies precisely between the 0.5 and 0.618 retracement levels.
📊 Volume Profile: Indicates that $43,000 is a critical point where the highest volume of Bitcoin was traded during the last uptrend.
📝 Conclusion:
Overall, if this week's weekly candle closes below $60,000, I expect the price to follow the outlined path, potentially correcting to the $40,000 area. However, if it finds support around $52,000, we might see a bullish continuation from this level.
Bitcoin has been experiencing significant volatility recently, with prices fluctuating within a well-defined ascending channel. As we approach the end of the week, traders are closely monitoring key support and resistance levels to gauge the next potential move. This analysis delves into the critical levels to watch and the possible scenarios that could unfold in the coming days.
🔍 Analysis:
If Bitcoin closes this week's candle below the middle line of its ascending channel, it has the potential to correct down to the bottom of the channel, reaching around $40,000. However, it might find strong support around the $52,000 area during the decline.
This strong support zone is the confluence of the remaining volume from the last uptrend and Bitcoin's long-term trend line, which keeps traders hopeful for a bullish continuation from this area.
📊 Key Levels and Indicators:
💪 Strong Support at $52,000: This area is crucial as it intersects with the volume node from the last uptrend and Bitcoin's long-term trend line, providing significant support and hope for a bullish reversal.
🔑 Primary Support Zone ($39,700 to $44,500): This zone has the highest potential to reverse the price back upwards.
🛠 Tools Used:
📈 Fibonacci Retracement: Drawing the Fibonacci retracement on the last upward wave, this primary support zone lies precisely between the 0.5 and 0.618 retracement levels.
📊 Volume Profile: Indicates that $43,000 is a critical point where the highest volume of Bitcoin was traded during the last uptrend.
📝 Conclusion:
Overall, if this week's weekly candle closes below $60,000, I expect the price to follow the outlined path, potentially correcting to the $40,000 area. However, if it finds support around $52,000, we might see a bullish continuation from this level.
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.