Time To Be Bearish On Bitcoin?

Full analysis

Time To Be Bearish On Bitcoin?

Welcome to the Rekt Capital newsletter, a place for people who want to better navigate the crypto markets with the help of cutting-edge crypto research and unbiased market analysis.

Bitcoin - Failed Retest Attempt

Bitcoin truly had an opportunity to flip macro bullish.

BTC broke out from the $38000-$43100 range, rallied to the mid-$40000s and pulled back into the $43100 for an apparent retest attempt.

However, BTC failed to retest this previous resistance of $43100 into new support because BTC Weekly Candle Closed sub $43100.

Since this Weekly Close, BTC has been declining.

Price has re-established itself inside the $38000-$43100 that BTC had broken out from just weeks prior.

The failed retest also means that price had failed to retest the Ascending Triangle price had broken out from:

BTC also failed to retest the 111-day Pi Cycle MA as support:

And lastly - price failed to reclaim two key Bull Market EMAs as support, the green 21-week and blue 50-week EMAs:

All of these indicators were pointing to a confluent area for Bitcoin and price wasn’t able to flip this region into one of new support.

Now because BTC lost the $43100 level - the ~$38000 region could be revisited, mainly because that is where the price point denoting the macro black Higher Low resides:

Would losing this Higher Low signal the end of the Bull Market?

Technically, price is still inside a $28000-$69000 range.

And while the Higher Low is a valuable indicator of bull-side momentum, the main region to signal the end of a Bull Market would be the loss of the green macro Range Low at $28000.

Because at this time, it can be argued that price is in a Re-Accumulation Range but losing the green Range Low area would actually speak more to a Distribution Range.

This post is for paying subscribers only

Already have an account? Sign in.

Subscribe to Rekt Capital Newsletter

Don’t miss out on the latest issues. Sign up now to get access to the library of members-only issues.