Ascending broadening top formation?
Updated
After an aggressive 48% move up from 30 Dec, would be wild to not see mid-January range be support-tested before any trend continuation takes place.
Past two weeks BTC has been choppy, while NDX made new highs. The break from correlated moves indicates BTC over-extended and has stalled.
However, this does not necessarily indicate BTC is weak. If indices push higher while the dollar continues lower (and the bounce to 103.8 is just a retracement), we could see another explosive move as BTC price action catches up.
Past two weeks BTC has been choppy, while NDX made new highs. The break from correlated moves indicates BTC over-extended and has stalled.
However, this does not necessarily indicate BTC is weak. If indices push higher while the dollar continues lower (and the bounce to 103.8 is just a retracement), we could see another explosive move as BTC price action catches up.
Note
Log, 1W. A break out here is very bullish (24-25k)Note
DXY, 1DStrong move into resistance. Break above the yellow rectangle, DXY could see 105.6
However, the downward channel is not out of play, and we see a bearish (trend continuation) hidden divergence on the RSI
Note
Lastly, I'd like to point out the decrease in volume over this range, while the price has wicked off slightly higher highs. Chart below is from Coinbase, but we see similar across other exchanges. Interestingly, aggregate Open Interest has continued to creep up over this same period. Funding rate has remained net bullish since 19 December.Note
possible setup.This is not trading advice.
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