Capitulation for BTC?
Updated
BTC has lost the wickless weekly trendline support on 11th May. Restests of this level seem to be rejected (on 1D TF).
In a previous prediction of BTC this week, I thought that BTC would revisit $26000 (still on its way!). What'll be the next destination if this prediction is correct?
It is very likely that BTC would go deeper to touch the SMA 200W at $21000-$20000, the capitulation point (where btc price is equal to the electricity cost to produce). This level corresponds to the Trendbased Fib extention 0.786 one (this Fib is depicted using three anchor points $69000 - $34000 - $48000).
The below snapshot to show the wickless weekly trendline that was crossed:
In a previous prediction of BTC this week, I thought that BTC would revisit $26000 (still on its way!). What'll be the next destination if this prediction is correct?
It is very likely that BTC would go deeper to touch the SMA 200W at $21000-$20000, the capitulation point (where btc price is equal to the electricity cost to produce). This level corresponds to the Trendbased Fib extention 0.786 one (this Fib is depicted using three anchor points $69000 - $34000 - $48000).
The below snapshot to show the wickless weekly trendline that was crossed:
Note
One chance for BTC to bounce from the wickless weekly support and avoid the capitulation scenario: BTC needs to close this week above $30860. Let's see what will be the weekly close in two days.
Note
BTC has been ranging in 28600 - 30800 since two weeks. Its price is found below the wickless weekly support trendline (now becoming a strong resistance).Let's see the next days if it will break down. First to revisit the $26000-$25000 levels.
Trade closed: target reached
BTC was at $20130, as predicted. Capitulation has been really happening for institutions, this time.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.