Hello traders! You may be wondering... why can't Bitcoin break 40k so easily like the previous resistances? Today, I will explain with an analysis of why.
Let's look at the diagram above. If we notice, there is strong resistance, the red dashed line, and the Fibonacci line. This may explain why it was so difficult to penetrate the 40k levels. Just look at the daily chart:
Wow, tough. But it doesn't end there. IF we look at the RSI in the chart, we just bumped all-time high resistance! This makes the resistances at 40k even more powerful! Oversold RSI makes it scary...
We don't end it here. The last time Bitcoin had a rally from the lower channel to the middle channel line, it miserably failed. Just look:
Will we have the same thing happen? We have some support that the same thing may happen:
1. 5-wave Elliot, trend completed according to this evidence The image explains itself. Yikes!
2. Divergence Patterns, head and shoulders in Stochastics Image explains itself. 1 image = 1000 words
3. Parabolic Increase with both 300% increase Image explains itself again. 100 words = blurry images
These factors increase the chance that we go to the floor, not the ceiling. What do you think? Tell me in the comments below!
Based on these present-and-past facts, we can't decide just YET. It is a do or die, folks, and a matter of price and time. Good luck!
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