$6550 bottom in 3 days, then reversal - 5 month vs 5 year trendI have been posting these trend for a while now, we see an evident descending channel ever since $14k. The recent bounce firmly rejected 8k as resistance and then again was smacked down under even lower channel resistance and is primed to fall to ~$6550 bottom of channel over the next 3 days. In the event BTC falls to bottom of channel to bring this intersection into play within the next 3 days, $6550 is lowest we could see where as if BTC can stay off the bottom of channel the intersection may come later with a higher low. Of course with any surge in buying/selling there could be a brief run below support.
In this chart, it is easy to see the 5 month descending channel and the 5 year ascending trend line are on path to collide soon, only one of those trends will hold. To me it makes much more sense that the 5 year trend will hold over the 5 month trend. We saw this on the crash from 21k as well where the (now) 5 year trend line held strong. I believe that we are about to see bottom and begin our ascent and break out from this 5 month descending channel of sadness. This that 5 year trend line holds, this will be bottom of market and the best possible entry point.
In the event we break below the 5 year trend and turn it to resistance, I will post another analysis identifying potential downside but it wont be pretty at all. There is absolutely no reason for the 5 year trend not to hold, BTC and crypto have only gotten stronger since the last time this trend line was tested. The reversal is coming and I suspect my next post will be about validating the reversal.
There is also a chance that we never test the 5 year trend and start the reversal from here and though possible, it seems improbable.
Dont take my word for it, DYOR!
