Bitcoin: Reversal from 65 000$ Gives Target at 30 000$

23 Apr 2021

Let's talk about Bitcoin.
I know that many of you didn't see the bearish crypto, how your favorite coins can be corrected on 80-90% after the ATH, and how the crypto market can be boring when it moves sideways for months.

When the price broke 12 000$, we could see the strong upward movement with short-term pullbacks and new ATH after that. The price reached didn't reach 65 000$ but it was very close to this round number. And during the whole bullish period, we didn't see any solid correction. For newbie crypto traders such a market movement was absolutely normal. When I talked about possible correction movements from 20 000$, 30 000$, 40 000$ resistance based on round numbers, I could see a lot of misunderstanding in your comments. "How the price can move down??? No! To the Moon!!!" - and it was the main idea from that comments.

Now, you have an amazing opportunity to see how the market has a chance to move back toward 40 000$ and even 30 000$ levels. You have a chance to see how the market can move sideways at these levels for months. Are you ready to take into consideration such a model? Sure, we would like to follow "experts" who say in social media that the price will move toward 100 000$ within several months, that the price can reach even 300 000$ - 500 000$ within several years. Sure, it sounds catchy and I guess all holders of Bitcoin want to believe in these numbers. But what if these levels are reached after a deep correction and it will take many months or maybe even years? What will you do? Do you know how to optimize your trading plans?

We don't know the future and nobody can say where the price for Bitcoin will be in 1 month, 2 months, 3 months and etc. We can just try to predict but for trading and investing we need the exact plan with the exact steps. That's why I want to push you to think not only about a bullish model but also to take into consideration a bearish model.

If we look at the weekly chart, we can see the overbought market with space for a correction movement. RSI and MACD confirm that the market is overbought and give bearish signals. MAs are far from the current prices and it is another signal showing that the price can move downward. We have a reversal candlestick pattern which gives another bearish signal. So, all these signals confirm the reversal and a possible downward movement. Will the market follow these bearish signals or not, it will depend on other factors but we have to take into consideration them.

If the price moves down, where should we search for reversal patterns and buying opportunities?

I would use Fib retracement tool in combination with the key support and roun numbers. If we combine all these tools together, we will get the following:

- 0.382 and 40 000$ - 42 5000$
- 0.5 and 30 000$, SMA20
- 0.618 and SMA50

If the bears can develop the downward movement and it is supported by panic sales, these level will become reachable targets. The reversal signal in the daily and houlry timeframes will give interesting trade opportunities for buying. Also, reversal signals from BTCUSD market will becomegood bullish signals for buying altcoin.

I will plan when to buy altcoins following the signals from the BTCUSD market. And what about you?
Also, share your thought, will Bitcoin reach the target levels like 40 000$, 30 000$ or even 20 000$ before a new bullish movement? Write in comments, please.

P.S. I will be grateful if you support my work by your LIKEs. Thank you!



Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.