The start of 2019 started to show good signs for majority of the crypto market including Bitcoin, after the major sell off during mid of last December. A lot of crypto analysts were looking forward for the new bull run after the recent bottom of 3200$ level.
As of today the market capitalization is around $113 billion as the entire markets tends to go lower. Even with the optimism, it was not possible for bulls to break the level of $4200 to $4300 to continue to the upside. My analysis concludes that the bears will continue to push the price down to the new bottom.
My Analysis :
- The bearish market will continue in the next 2-3 weeks. The daily chart looks may not look attractive as you can see from the the chart above.
- The price will continue to fall for the next few weeks, it’s possible to reach the bearish trend line on the chart and after that to get the rejection and to continue to the downside. Right now is better just to stay away from the market and to wait for the market to be stable.
- The confirmation for will be rejection from $3500 (around this price) and close the daily bar under that level. If that happens I think the price will fall significantly and the next support will be 3000-3200$. For me, the bearish scenario right now is more possible because the weekly and the daily charts look bad.
For now, we didn’t have any hidden divergence or divergence on MACD to think that the bulls can take to the upside and to break the level of 3500$, but I will look the charts in next couple of days about any divergence.
We’re still being held up by the 200 weeks moving average, but the fact that the 200 weeks moving average has to hold the price up again in a bear market is very bad, if it this average was holding up the price in uptrend it would be great buying opportunity.
Final Thoughts / Conclusion :
Let’s take a look at the 4H chart where the chart looks not so bad. On the 4H chart, we can see a very good rebound from the 3300-3350$ level that’s why we didn’t continue to the downside.
So the 4H and 1H chart looks good we have a good a rebound from the critical level of 3300$ but the daily and weekly charts look bearish that’s why I think the bearish scenario in next 2 weeks is more possible.
Disclaimer : “The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of cryptonewsbytes.com. This article is not intended to provide any investment advice and should not be taken as is. Please perform your own research before investing in any cryptocurrency.”