BITCOIN'S CONTINUATION PATTERN, MAY PUSH PRICE TO $10K
The parabolic rise of Bitcoin's price from its Dec lows may not have ended afterall, as the recent price action in the last two weeks seems to be forming into a pattern that could ultimately continue the move all the way to 10K area.
On the 4 hour, we had our first low of this move at 6800, and our top at 8400 followed by a first higher low at 7015 (close of the candle) and another lower high at 8100.
With the ongoing price action, we could be heading to test the lower boundary of this symetrical triangle pattern at 7200-7100 to give us our second higher low.
RSI and Stochastics looks bearish, i will be looking forward to a dump to the 7200-7100. A bounce at this level towards the 7800 area will confirm this pattern and a possible move to the 10k resistance area.
On the daily, we are seeing the same countinuation pattern formation. RSI and Stochastic crossing down from overbought levels an indication that we could be heading for the 7200-7100 of the symetrical formation for a possible reversal.
This level coincides with the 0.236 fib level of the entire move from the Dec lows of 3100. If we get a bounce at this level, this would be a confirmation of our second higher low formation on the 4 hour.
If price breaks this level, our next target will be the 0.38 fib level at 6300-6400. A bounce at this level will mean a healthy correction and a continuation of the bullish structure.
A break below this level will invalidate the ongoin bullish structure, and this could lead to a dump to the 6000-5800 area IMO.
NOTE: This is a personal opinion, always remember that TA is nothing but mere assumptions, it is not an exert science...... Always do your own research as well.
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