Crypto Analysis | BTC 95-100k

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Bitcoin seems to have enough support to keep it afloat and brake to higher grounds once again

In my last post I suggested that BTC would have a smaller correction to 48-53k before making higher gains once again. BTC corrected to the middle of that and reached 50k (so not a bad prediction). Since then we are up to 59k and looking strong.

It seems clear that the "orange line" was enough support to keep BTC from dropping any further and this makes room for larger upward swings. I am predicting 90-100k for the next weeks/months which could very likely be followed by a correction of about 30-40% back to 60-70k area. So let's have a closer look...

Here we see once more the bigger picture: The two orange channels which have precedet the parabolic rise of BTC in each bull cycles. Notice that the cycles have a crucial difference. The orange channel for this cycle is much wider which is changing the pattern of the last cycle. The two ovals mark the spot of similarity: The first oval saw a steep correction back to the orange support line; the second oval shows a piercing of that line and a build up of support, meaning that a bigger correction is most likely staved off.

Volume has been on a steady decline in the last 3 months which always indicates a strong upwards or downwards movement to follow. The crucial question is whether the support from the blue trend line will hold (small orange oval). If it does we are heading to 70k+ very soon, if not expect a correction to back to ~48k. However, as this support line has been already tested several times, I think a breakout to the top is more likely.

A possible scenario could look like this:

Fibonacci retracement suggests resistance at about 80k and a strong resistance at ~98k. If this occurs, the past suggests a breaking of the blue support line and a correction of about 40% back to about 60-70k (see first chart) as this strong upward momentum cannot be maintained.

As a general reminder: Please keep in mind that none of this is official investment advice! Crypto trading entails a great deal of risk; never spend money that you can't afford to lose!

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