BITCOIN: LAST BUY OPPORTUNITY BEFORE THE MOON?!

X FORCE CRYPTO ANALYSIS:


Just a few weeks ago, it seemed as though we were in a bear market, unable to recover, only to witness an insane bullish breakout, changing the trend once again. In this analysis, we will take a look at the bullish and bearish scenarios that could potentially play out from the current situation.

Bullish Evidence

- We can draw three major Fibonacci retracements: from 3.1k to 13.8k, 13.8k to 7.3k, and from 7.3k to 10.5k
- As expected, we have seen a completion of wave Y at 7.2-3k.
- We have seen an extremely bullish 40% move from the local bottom, supported by volume, strength, and momentum, breaking most major resistances.
- We have broken the 8.8k resistance, 200 Standard Moving Average (MA) resistance, and even broke the upper trend line resistance, which could have led to a clear bull flag breakout had we closed above it.
- We are still trading above the 200 MA, which is major support for long term trends, as well as major Fibonacci support levels from 8.5k to 8.9k
- The moving average convergence divergence (MACD) histogram on the weekly is showing weaker signs of bearishness, potentially looking for a golden cross again, should this trend continue

Bearish Evidence

- We are seeing heavy historical and Fibonacci resistance at 9.7k levels, which we have failed to close above
- Relative strength index is at overbought territories on all time frames, also reaching overbought territories on the daily
- A break down below major support levels at 8.5k and 7.2k could lead to further testing of the lower Fibonacci supports at 6k levels

Market Sentiment:

The market is currently more bullish than bearish, after witnessing an explosive bullish breakout, with long short ratio at 6:4.

What We Believe

We also believe that the market is more bullish than bearish, as there is massive support below current price levels.

Trade Safe.

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