Hello everyone, dear colleagues and friends!
So, the beginning of November has been quite active, especially with this week's significant economic and political events.
Today, the presidential elections in the USA are already in full swing, and on Thursday, there will be a decision on the interest rate by the Fed with statements from representatives. In my opinion, the Fed's decision on the rate will also depend on the preliminary vote counts for one of the candidates.
I personally do not know who will be chosen and what will happen in these days on the markets, and I do not dare to predict. I can say one thing, it will be quite volatile, and soon we will be reading news about liquidations of positions from both players for various amounts.
As for the Bitcoin chart, on the 1Month timeframe, as I assumed in previous reviews, November started with a correction in the range of $66700-67700 to cover the imbalance, which can already be considered covered.
On the 1Week timeframe, a bearish formation 'Shooting Star' has formed at the historical maximum, and with volume, which may pull the price further into a correction. To cancel this pattern, we need a solid bullish candle at the weekly close to cover the entire range of the previous candle.
So far, we see pressure from both above and below, and the market is more in a wait-and-see position under conditions of uncertainty. It is quite possible that in November we will see at least the beginning of a resolution and understanding of what to expect next.
Locally, I still expect a drop to the support zone of $64K-65K, and then it will depend on the reaction and strength of buyers.
On the 1Day timeframe, a Head and Shoulders pattern seems to be forming. We need to wait for the right shoulder, and then upon breaking the neck line, we will see another drop to around $62K to complete the pattern. But it's too early to talk about this. We will observe.
For Ethereum, we also see the expected downward breakout from the triangle. And further, with a Bitcoin drop, we are likely to see values of $2100-2200 with a spike down to the global ascending support around $2K.
There will be an alt season only when the Bitcoin dominance #BTC.D starts to turn around. Looking at its 1Month chart, we see that there is still some room to 64%, although it is small. I think that by the end of this year and the beginning of next, we will see a revival in the altcoin market.
That's all for now, friends. Thank you for your attention. Wishing everyone patience and profit.
