Bitcoin has been following the same pattern for a few months now. Lately it has been forming another ascending wedge, and it could go as high as $6500 without breaching the upper trend line at this time. However, the RSI has been sitting in overbought territory for days and price momentum appears to be weakening.
The previous ascending wedge resulted in BTC retracing down to the .382 fib line. If the most recent high established on October 21st is the high of the cycle, then it could fall as low as $4200. That said, previous support/resistance has been established at $5000, around the .618 fib line. These are the two key prices I will be watching for entry points.
The previous ascending wedge resulted in BTC retracing down to the .382 fib line. If the most recent high established on October 21st is the high of the cycle, then it could fall as low as $4200. That said, previous support/resistance has been established at $5000, around the .618 fib line. These are the two key prices I will be watching for entry points.