Is Bitcoin at a bargain price or a hot potato? I wanted to show another view on some of the key indicators to make sense of the current market / Bitcoin weakness.
Bitcoin is just at the 0.618 fib. retracement level on the weekly from the mid-January 2021 lows. That level is very key to hold.
Also the 200 day moving average is just about in sight (about 6% or so downwards only).
This is THE make or break level. As shown in the prior idea of mine that level does not get violated in a bull cycle.
If it would then one can consider the bull market to be done or setting a new precedent (don't forget the statistical observation period of the crypto market is not very long) and will somehow magically recover.
After all the hype Elon Musk / Tesla has been causing about Doge and Bitcoin lately with in my view frivolous tweets there appears to be a lot of panic selling going on by new market participants.
Long-term HODLer are buying the dip and are enjoying the discount presented to them.
In my experience the market and Bitcoin stretches from one extreme to the other and consistently until it hurts.
This current pullback hurts a lot.
You may notice that the RSI and Stochastic indicators show the market is oversold and a bounce back is imminent.
I would not be surprised if Bitcoin will be squeezing the last statistical possibility out of and into the chart and pulls back touching the 200d moving average.
If you compare this scenario to prior cycles the chart screams "danger" while at the same time it screams "enough already".
The clear expectation to me is that while it may be playing cliffhanger with us Bitcoin is to recover this week and start showing strength again.
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