After remaining rangebound in the 30K-42K range for three months, Bitcoin has now broken that range to the upside. The bearish momentum divergence that has plagued Bitcoin for most of 2021 has now been alleviated, with the recent upswing pushing the RSI to overbought levels for the first time since March. So what’s next?
In today’s video, we’ll discuss four potential scenarios for the coming six to eight weeks and discuss the technical implications for each outcome. The four potential future paths include the bullish scenario (64K or greater), the short-term breakout scenario (between 42K and 52K), the continued rangebound scenario (between 30K and 42K) and the bearish scenario (below 30K). Most importantly, we’ll invite you to “choose your own adventure” for Bitcoin!
Here are a few questions we address in the video below:
– What can the action in the first seven months of this year tells us about potential upside or downside for cryptocurrencies?
– Why have 30K and 42K served as consistent support and resistance levels for Bitcoin?
– Which of these four potential scenarios is most likely, and why?
One Chart [VIDEO]: Bitcoin’s 4 Trading Scenarios
The author may have positions in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.