Bitcoin, Since The Second Top Builded, These Scenarios Likely!

5 dic 2020

Hi my friends,

Welcome to this update-analysis where we are looking at Bitcoins more globally 6-hour timeframe perspective, the recent events, the current formational structure, and what we can expect the upcoming times. As Bitcoin formed this major bull-trap moving above the all-time-high and pulling back immediately this completed the second top in the structure and as this is most often a bearish formation the bearish foresight can not be passed away in this case especially as Bitcoin is still trading within highly overbought regions which are not normal to continue like that on the long-term, basically there are two significant scenarios we should consider I detected here, therefore we are looking at the important levels and likely outcomes we should consider with Bitcoins established structure and the upcoming destinies to expect.

Continuations And Upcoming Tests:
As when looking at my chart we can watch there Bitcoin completed this second top where it severely pulled back to the downside from this strong descending-resistance-line marked in red in my chart, besides that Bitcoin already completed the ascending-triangle-formation which is a bearish formation I already mentioned previously. Now as such price-action has shown up here it is likely that Bitcoin firstly continues with the bearish pace and pressure till it moves on to test the remaining supports which Bitcoin, in this case, has at the 100-EMA marked in light-blue matching with the ascending-trend-line marked in blue when Bitcoin approaches this level it will lie ground for the decisive confirmations and further movements from this place basically dividing into two major considerable scenarios to expect.

Two Scenarios And Upcoming Determinations:
When Bitcoin now moves into the decision-zone marked in my chart there are these two possible scenarios already mentioned, the first one shows up when Bitcoin manages to bounce within the support sustainable and finally manages to move above the descending-resistance-line which is highly important in this case. The second scenario shows up when Bitcoin highly increases with bearish pressure further where it moves into the supports to finally close below them, such price-action will complete the double-top-formation properly and will point to lower levels with protracted bearishness to show up in the structure. For now, it is mainly crucial to wait on the right confirmation taking place in each of these cases which will be the decisive factor determining the next outcomes, before that the market should not be overspeculated in one direction as there did not came the final confirmation yet.

In this manner, thank you for watching the analysis, have a great day and weekend, all the best!
"There are many roads to prosperity, but one must be taken."

Information provided is only educational and should not be used to take action in the markets.