Hello Traders Investors And Community,
Welcome to this analysis about Bitcoin , we are looking at the perspective, the recent events, the completed formations and projected targets, the current formational structure, what we can expect in upcoming weeks and months, and how to possibly handle the situations accordingly. Bitcoin the last weeks and days confirmed several important points and finally emerged with price action within the all-time-high zones. The almost most important of them all is the fact that Bitcoin completed a massive inverse head-and-shoulder-formation as seen in my chart and will approach its targets within the forthcoming measurements and a big question, in this case, will be what will happen after Bitcoin reaches these targets as I discovered important additional layers worthwhile for the upcoming determinations, therefore we are looking at all the important zones and likely outcomes.
As when looking at my chart we can watch there that Bitcoin since it formed the head-and-shoulders breakout and after that the global ascending-channel breakout has formed this steeper ascending-channel marked in my chart in black, this ascending-channel is holding the to the upside and besides that Bitcoin also developed this wave-count within the channel with the waves A to C already completed and the ongoing waves D and E about to complete the next times which will finalize this whole wave-count. Furthermore, Bitcoin is pointing to a very fundamentally important level that can indicate a strong trend reversal, this level is the exact head-and-shoulder-target marked in my chart at 37715.30, it is not seldom seen that when price-actions reach such significant targets a reversal forwards as traders and investors taking profits in these zones, such destiny can also happen to Bitcoin here.
When Bitcoin approaches this meaningful inverse head-and-shoulder targets a pullback is likely to establish as Bitcoin is also approaching strong overbought conditions and as we have seen in the past after such conditions a reversal develops sooner or later, in this case, Bitcoin will firstly test the lower boundary of its current ascending-channel and when this boundary does not hold and Bitcoin moves below it the ground for a more protracted continuation to the downside is given in which Bitcoin will point to the upper boundary of the previous more global ascending-channel-formation from where a possible recovery can be considered. Overall it will be crucial to elevate how Bitcoin approaches in this major target-zone and how it will react there also after completing the underlying wave-count, when these events happen we should not underestimate the reversal-potentials and be prepared on a possible trend-change.
In this manner, thank you for watching the analysis, have a great upcoming Happy New Year’s Eve, many thanks for all people supporting this year, all the best!
“Prospect is the ingredient of good fortune.”
Information provided is only educational and should not be used to take action in the markets.