For the second week in a row, Bitcoin is correcting and today the price has fallen below the moving MA20d.
If the price consolidates lower, then we can expect the fall to continue.
The most surprising thing in all this is that the index of fear and greed is still at around 79 - Extreme greed.
📆 Exactly in a month halving$BTC Bitcoin, which means that soon the cost of mining 1 Bitcoin will increase multiple times, which will inevitably lead to the start of a stronger bullish rally.
Historically, the price of Bitcoin has always undergone a correction before and after this event. In order to take assets from weak hands before the start of a full-fledged rally.
Let's move on to price charts on different timeframes and see what we can expect in the future from Bitcoin.
🕯 Monthly timeframe
The price has been drawing green candles for the 7th month in a row.
This is an absolute record for such dynamics of all time.
By comparison, in the 2020 bull market, Bitcoin only rose for 6 months in a row, but only then the rates were zero and there was a very active printing of new dollars.
Indicators are in the extreme overbought zone. Moreover, a hidden extended bearish diversion has already been formed.
If for some reason a very strong and accelerated fall begins, then the price should not fall below $35,200 and Bitcoin as a whole will never cost less than this mark.
A long-term upward trend is currently taking place around this area.
📊 Weekly timeframe
This week the situation is no better.
Bitcoin made a slight overshoot and began to roll back down.
Moreover, the indicators are in the 90 zone - historically at the highest level of all time, where the correction always began.
The last weekly candle closed with a doji reversal and if the current week closes below $60,000, then the correction should continue.
Technically, the price left the medium-term upward channel and began to grow at an accelerated rate.
To continue this trend, it would not be superfluous to test this channel from above at approximately $56,000, where the moving MA50d will act as new support for the price.
📊Daily timeframe
And here the situation is even more interesting.
The indicator has already unloaded almost to neutral levels.
BUT the indicator has formed a Head and Shoulders reversal pattern, which has almost already worked out its downside potential.
As we said earlier, today the price has broken through the short-term moving average MA20d downwards and there is a high probability that it will consolidate lower today.
Below there is small support in the form of the lower boundary of the short-term ascending channel around $63,000.
From there, we should expect at least some reaction before continuing to fall.
Next we will find support in the form of the psychological level of $60,000 and the moving MA50d in the area of $56,000.
📌 Conclusion:
By all logic, the current correction should end at $56,000-60,000, but the indicators on higher timeframes will not cool down much at these levels.
Therefore, ideally, when the correction is completed, Bitcoin will go flat for 1-2 months so that the indicators are adequately unloaded.
This would be an ideal scenario, since in the sideways the alts will shoot while Bitcoin gains strength.
The worst-case scenario is a deep drop down to $35,000, but such a scenario requires some kind of trigger.
But in this scenario we will cool down very quickly and be ready for a new round of growth.
In any case, in any scenario, the price will go up and reach new heights, and as has been said many times before, your task is to maintain your positions and not be left without them.
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