BTC Golden Cross - Retest Confirmation
This week has been very volatile for the BTCUSD market, seeing a weekly high of just under 11k. This resistance level at 11k is crucial and the market has been knocking on its door all week.
This retest of the support level found at around low 9k will show whether or not the longs or shorts prevail. Breaking this support level would likely result in a run down to the mid 8k range if not slightly lower into the mid 7k range.
If volume picks up in the next week or so then that would be a good confirmation of the bulls taking control.
The last recent golden cross that occurred in late April was almost 1 year exactly since the previous death cross in April of 2018 which was followed by a year of selloffs finally bottoming in the beginning of 2019.
If this signal is to look like the last golden cross which led to increases of ~150% then the next level of resistance for BTC could be at 13.5k and if that is flipped then BTC will be once again in uncharted territory.
The timeline etched out in this chart is about 3 months or 12 weeks, which would be a much slower move compared to the time BTC skyrocketed to 10k in just a couple months. If this is the case it would signal that BTC has a more mature market now and it would likely be a more sustainable increase that wouldn't be met by an aggressive selloff.
In fact, if this trend is more prolonged and has a more stable rate of growth that would likely signal to larger institutional players that it's time to enter. This is all speculation and not written in stone but the smart play here would be to wait for the retest of 9k to be confirmed as a level of support and then go long, otherwise if entered too early you'll be flushed out because if 9k breaks the price will slide into another small period of accumulation.
This retest of the support level found at around low 9k will show whether or not the longs or shorts prevail. Breaking this support level would likely result in a run down to the mid 8k range if not slightly lower into the mid 7k range.
If volume picks up in the next week or so then that would be a good confirmation of the bulls taking control.
The last recent golden cross that occurred in late April was almost 1 year exactly since the previous death cross in April of 2018 which was followed by a year of selloffs finally bottoming in the beginning of 2019.
If this signal is to look like the last golden cross which led to increases of ~150% then the next level of resistance for BTC could be at 13.5k and if that is flipped then BTC will be once again in uncharted territory.
The timeline etched out in this chart is about 3 months or 12 weeks, which would be a much slower move compared to the time BTC skyrocketed to 10k in just a couple months. If this is the case it would signal that BTC has a more mature market now and it would likely be a more sustainable increase that wouldn't be met by an aggressive selloff.
In fact, if this trend is more prolonged and has a more stable rate of growth that would likely signal to larger institutional players that it's time to enter. This is all speculation and not written in stone but the smart play here would be to wait for the retest of 9k to be confirmed as a level of support and then go long, otherwise if entered too early you'll be flushed out because if 9k breaks the price will slide into another small period of accumulation.
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