The past week or so we have seen heavy resistance. Most are probably wondering why.
We have had enough confirmation to report this formation. As per our last post here the state of the world and thus, world markets is not looking so good… For now.
We had a sell off and a bounce, this bounce has been forming rising wedges all over multiple markets and multiple asset classes. But there is light at the end of the tunnel.
Although there are a number of rising wedges forming across many markets (and as of writing BTC has broken out of its rising wedge to the down side):
Bitcoin seems to be forming a massive descending wedge in the macro.
You may remember this from a few days ago, the bulls were relentless in trying to get the price of BTC over this line, it spent a day or so trying to get over the line, but to no avail as it rejected until falure:
As of now, BTC is retesting this line, but what are the odds that retail will be watching the charts en masse? On Easter? Much less looking to buy in the current state of the markets? This looks like bot trading, trying to rope anyone in who may be around to take the bait.
And when we zoom out, what do we see? A massive descending wedge.
To me this tells me that we likely have some more down side to come, unless the bulls can invalidate this formation. As I have watched the charts like a hawk, I don’t think the bulls can take it. So far the top of this descending wedge has been a brick wall, reinforced with iron and titanium. The bulls seem disparate to try and push the price over the top cyan line. They also seem disparate to keep the price away from the fibonacci ring seen in the chart just above. If it hits that ring it may cause a chain reaction. And the bulls know it:
Again, with the state of the markets and the state of the word, the pandemic and world wide panic. I don’t see how we will be having any moon missions in any market including crypto. But the light at the end of the tunnel comes in this formation. If this pattern plays out, it is long term bullish, very bullish after a nice dip back down to the mid 4000’s. This would give some very good price points to fill longs and buy ALTs if this pans out.
Perhaps some time in the early summer, the virus may die down and things start looking up. Thus people may start to look back into the markets, pulling BTC and the rest of the markets back out of the hole this virus has put us in. This would be a good case scenario for the world at large.Tags: Bitcoin, BTC, covid, world markets
This post was written by BlockAdvisor