Since Bullish Exaggeration Bitcoin Approaches Decisive Targets!

6 พ.ย. 2020Hello Traders Investors And Community,

Welcome to this update-analysis where we are looking at Bitcoins Weekly Timeframe Perspective, the events since the head-and-shoulder confirmed, the current formational structure, what are crucial outcomes to consider at the moment, and how to possibly handle the situation appropriately. As Bitcoin confirmed the massive head-and-shoulder-formation as expected bullishly to the upside Bitcoin managed the way and shown up with great bullish volatility to the upside which was an initial solid step into acquiring bullish pace also on the more middle-to-long-term-perspective nevertheless there are however still important resistance levels which we should not underestimate here and as Bitcoin approaches the target-zones this can lead to a crucial pullback in the structure, therefore I detected all the important levels and likely outcomes necessary to consider at the moment.

Target-Zone And Technicals:
Bitcoin has formed the breakout of the head-and-shoulder-formation and showed up with increased bullish volatility, the target-zone of the head-and-shoulder-formation is the zone between 15700-15800 marked in my chart with the red box, it is not seldom seen that after such targets are reached supply enters the market and it can be an origin of pullbacks leading to the downside. Besides that the wave-counts Bitcoin has formed here are ending within this level this is playing also into a pull-back-scenario. Above that level is also the upper-boundary-resistance of the ascending-channel-formation where Bitcoin will have a hard time going above it, this is why Bitcoin can move a little bit above the resistance-zone to form the pullback with the origin within the upper-boundary then. Taking all these factors into consideration a pullback is highly possible and should not be underestimated here.

Upcoming Perspectives:
As mentioned Bitcoin is likely to form a pullback from the strong resistance layer it has formed, this pullback will continue till there is sustainable support found that can reverse the whole dynamic again, in this case it will be the back-up-cluster marked in blue in my chart where several supports coming together consisting of the bullish head-and-shoulder-confirmation-line marked in grey, the neckline of the prior formed head-and-shoulder-formation marked in blue and the 20-EMA also in blue, when Bitcoin approaches this level it is likely to back-up from there and show up with a bullish continuation, in this case, it is from high importance that Bitcoin does not close below this level because this can possibly invalidate a bullish stabilization, after that a huge milestone will be the upper-boundary of the massive ascending-channel-formation which Bitcoin needs to take out substantially considering further bullishness ahead.

In this manner, thank you, everybody, for watching, have a good day as well as good trading, 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 market.