Bitcoin Going Down! Final Support for BTC? -15/12/21
In my last article: Bitcoin Dumped! Next Move for Bitcoin and ALTs we analyzed that Bitcoin might go a little up above 20 MA in 4hr chart and it may either get rejected from 20 MA or it may form support at 20 MA with the former being highly possible.
We saw a similar move in the BTC chart, where the price went above 20 MA but failed to find support. After this, the Bulls have tried multiple times to form good support at 20 MA in 4hr chart but for now, the Bears are heavy. We can also observe here that price has been making lower highs and lower lows which is signalling a downtrend market. Also if we look at the daily chart, we can see that price is sitting very near to Daily 200 MA (at $46,800) and has tested it a couple of times which indicates that it can break anytime and price can fall further down from $47,000.
Now that we have understood what is going on in the market, let’s understand what can we expect?
As also mentioned in the last article that BTC is bearish in short term and will continue to do so until whales fill their bags of BTC at a discounted price which can be some weeks or a few months. Therefore, do not open any longs in such market to be safe and shorts can be opened only at potential resistances to maximize profits until trend reversal.
Next, I am expecting BTC to break $46,500 support in 4hr and find new support at $44,500 where it can stay there for some and again test $46,500 support which can be a potential area to short (only if resistance confirms in 4hr chart). I am expecting BTC to do down as low as $41,000-$42,000 after which we can see recovery in the market and a potential chance for trend reversal.
Refer to the chart above to find key levels of support and resistance and DYOR before trading.
NOTE: Always remember one thing that markets are subject to change at any point in time and nobody can predict what will happen. My articles are based on pure TA, market sentiments, research and experience, so please read this as educational content instead of a trading call. I do not ask you to take trades on my articles, you can choose to or not to and I would not be responsible for any profits or losses.