Riding The Wave Weekly Outlook #8
Resistance at $45,000
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Table of Contents
What’s Happening Now?
What Might Happen Next?
What does this mean for the bull run?
Tweets
What’s Happening Now?
Bitcoin has pushed upwards settling within the $40k to $45k range. We have found resistance at the $45,000 price as can be seen below.
Overall this is a good thing as if the market doesn’t take a breather the growth becomes so sharp that the market can’t sustain it. With how long and low we have consolidated a sharper increase isn’t completely surprising but the slower we take this the better it is should bad news come out.
We have also broken above the 8 week SMA ( Image below) which has held as resistance in this downtrend. We will not officially break the downtrend until the weekly candle closes above it but we are currently on track to achieve this.
What Might Happen Next?
Overall this Sunday will be an exciting day for Bitcoin and Crypto in general. With the weekly close coming up the market has hope that we will close above the 8 week SMA & move on from the downtrend/consolidation. Another exciting event that might serve as a trigger for an increase in price or a buy the rumor sell the news type event is the super bowl.
Many crypto projects and companies are looking to do major announcements as well as to pay for commercials. Some rumors include announcements from Etoro, Coinbase releasing Coinbase NFT, & and many other projects doing PR stunts (Ex: NFT’s sponsoring commercials as well or doing other stunts). This is great as even if the price dips initially this publicity will help to bring more people into the crypto space preparing us for our next rally.
What does this mean for the bull run?
Overall I think this will help to prepare us for the markets to go into a real parabolic peak. The previous bull runs have had blow-off tops marked by people rushing to jump in with little to no information. These people, organizations, countries, etc. rushing in give it the sharp and unsustainable increase we usually see as well as the sharp decrease when they panic and sell due to lack of research beyond wanting to make a quick profit.
I still expect us to peak sometime between this summer and the end of this year but it could always come earlier or later depending on how everything plays out (I prefer to predict based on price rather than time frame when it comes to peaks but this is my best attempt at a time frame).
Tweets
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