🅱️ (₿) The Retrace Is Here... What Now?

18 янв. 2023 г.

The much awaited retrace is starting and the Bitcoin bears are on edge...

The Bitcoin bulls are sitting back, watching, fully focused, tranquil, serene and relaxed with cash on hand and buy orders all the over the place in preparation for the resumption of the current bullish wave.

What will it be?
What will happen?
What to expect?
What are the relevant support levels?

Initially, the obvious level that needs to be tested is EMA10 as the main short-term moving average and MA200 as the long-term one.

Since bitcoin hasn't been above MA200 since December 2021, it is only natural to test this once resistance level as support. Just to check if the bulls are in it for real.

There is a strong GAP on the CME futures around $19,990 but that will be filled easily.

EMA10 is set at $19,857 which is also filled easy and finally, MA200 and 0.382 Fib. retracement for Wave 1 concerning the 21-Nov. low to todays high, sits between $19,300 and $19,500.

This is the main support level range for the short-term.
(1) $19,300 - $19,500.

EMA100 is the next relevant level which is very close to EMA50.

We will skip EMA21 which sits at 0.5 Fib. retracement because if we go lower than the main range above, this level is likely to be skipped.

The next relevant support range becomes (2) $17,840 - $18,365.

The last level is marked solely by Fib. retracement 0.786, sitting at (3) $16,800. This is how low Bitcoin would reach if the bulls are weak, can wick lower.


Why Higher Low And Not A Lower Low?

That's a good question.

The action that lead to the current chart, to bitcoin's current price is indicative of a stronger bullish that is just starting to develop.

The same number of signals that helped us predict this rally with extreme accuracy, our final target from our 23-Nov-2022 call was set at $21,620, while bitcoin peaked at $21,662, are also telling us that there is more to come.

I shared these articles multiple times but you can find them in the "Related Ideas" below.

The retrace might be cut short...
It might last a few days, weeks maximum and then we are back to sustained growth.

Retraces and corrections are normal...
You can use these as an opportunity to buy-in, rebuy and reload on your favorite crypto.

Namaste.