Bitcoin Market Outlook (W45/2024) // AlgoFyre

Bitcoin's weekly outlook indicates a potential bearish shift, marked by a failed auction and a possible head and shoulders pattern. A retest of the sell-side liquidity (SSL) zone may confirm further downside. Lower highs reinforce selling pressure, suggesting weakened bullish momentum.

🟢 Short-Term Outlook (Next Few Days to Weeks) - Bullish Scenario


🔸Key Support Zone: The price action shows a strong support level in the region around 74,415, marked as ATH 2024. This area is likely to act as a significant support if the price pulls back, providing a potential "retest and go" scenario.

🔸Potential Liquidity Grab: The SSL zone (Stop-Loss Zone) marked on the chart indicates a possible liquidity sweep. If the price dips into this zone and then rebounds, it could trigger buying pressure, leading to a bullish reversal.

🔸Bullish Wave Formation: The current structure shows the possibility of an Elliott Wave pattern, where a corrective ABC structure might complete near the SSL zone. Following this, a new bullish wave is likely to emerge, suggesting upward momentum.

🔸Higher Highs Expected: The outlined potential pathways for the price indicate a series of higher highs if the bullish scenario unfolds, aligning with continued bullish momentum towards and beyond the 76,000 level.

🔸Bullish Summary (TLDR):

1. Key support around 74,415 could serve as a launchpad.
   
2. SSL liquidity grab might trigger a bullish reversal.
   
3. Potential Elliott Wave structure suggests upward momentum.
   
4. Higher highs anticipated in the bullish scenario.
   

🔴 Short-Term Outlook (Next Few Weeks to Months) - Bearish Scenario


🔸Possible Failed Auction: The current price structure shows signs of a potential failed auction near the top, suggesting that bullish momentum might be losing steam. This pattern often precedes a reversal as sellers start to dominate.

🔸Head and Shoulders Pattern: The chart displays a possible head and shoulders pattern, a classic bearish reversal signal. This could indicate a significant shift in market sentiment, with the potential for downward movement if this pattern completes.

🔸Sell Side Liquidity (SSL) Zone Retest and Breakdown Risk: The SSL (Sell Side Liquidity) zone is a key area of liquidity that could be revisited. If price breaks down after testing this zone, it could confirm a bearish scenario, with further downside expected as sellers take control.

🔸Lower Highs Formation: The recent highs are progressively lower, a typical bearish sign indicating that buying interest is weakening. This pattern suggests that the market may struggle to push higher, increasing the likelihood of a decline.

🔸Bearish Summary (TLDR):

1. Possible failed auction suggests weakening bullish momentum.
   
2. Head and shoulders pattern points to a potential reversal.
   
3. SSL zone retest may lead to further downside.
   
4. Lower highs indicate waning buying interest.
   

🔶 Key Takeaway
Bitcoin's price action suggests a potential bearish reversal as sell-side liquidity (SSL) and a possible failed auction indicate weakening bullish momentum. A head and shoulders pattern and lower highs further support the likelihood of downward movement in the coming weeks.