If the daily and hourly timeframes look bullish and tell us about the continuation of the upward movement, the weekly chart draws a little bit another picture. Let's look at it closer and try to understand the possible market movements.
The market keeps the uptrend. We have higher highs and we need to get a higher lower for confirmation the uptrend. This higher low can be done at the uptrend line if the price bounces from this support. It's the strong support zone formed by the trend line, SMA200 and 4000.00 level. We should expect for the correction to this zone with a further reversal and a continuation of the uptrend. All these movements will be logical in the bullish structure.
The other important thing we should note, the price action at the current levels. The previous week has the close price not far from the open price. The size of the weekly candle is not big. We have a doji candle which can be a reversal candlestick pattern if it's formed at support or resistance zones. This type of candles tells us that sellers or buyers need some rest after a previous movement.
We had the good upward movement and the doji candle in such a pattern tells us that buyers need a rest. At the same time, sellers are not so strong for pushing the market lower. We have the market conditions where buyers are not so strong and the price is at the resistance zone. This zone is formed by SMA50, 5000.00 resistance level. Not far from this resistance we have another one at 6000.00 level which is really strong. Buyers don't have the power to push the price higher and if so, the price can move sideways or downward. In both cases, we will have a correction movement. The market can make an attempt to reach 6000.00 resistance during this week, but after that, the market, probably, will bounce and move to the zone between 5000.00 and 4000.00 levels. This downward movement should be used for getting new buy opportunities on different timeframes.
If we look at the indicators they give us different signals. MACD supports the upward movement but RSI line reversed and started a downward movement. It gives a bearish signal. DMI is bullish and ADX line moves upward but it's below 20 signals level. Buyers have some power but they are not so strong yet. So, probably they won't be able to break strong resistance levels and move upward. The correction movement to the support, the reversal from this zone and the continuation of the uptrend - it looks like the perfect market movements for the nearest several weeks.
P.S. If you want to become a professional trader and succeed in the financial markets, you should read these 3 articles: They will help you to move in the right direction and protect your capital. I will be grateful if you support my work by your LIKEs.
TBH, your scenario could happen, there is even a high probability to reach the above mentioned/predicted lower level (4150 or like that) /// BUT: first, BTCUSD has to confirm the 5,8k level, which is crucial for the market participants
IgorPorokh
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@DLavrov It is interesting to know your opinion about it
big_foot
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My view
- on every single timeframe RSI is dropping (still on overbought level)
- Longs are high - nice setup for long squeeze
- volume is dropping
So first we get long squeeze, and with panic we could stop somewhere near 4k... and that looks nice to me, since I already took my proffit :-)
WBM_Team
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Take a look at how good it works with Zero Lag EMA invented by the John Ehlers and Ric Way.
The market turned into bullish.
Decrypt0
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Moon_Rocket_Capital
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What is your opinion on the hidden bearish on the 1W RSI?
weslad
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Spotted Potential AB=CD Harmonic formation on Bitcoin with target around 4600-4700 level.
TradeIndicators
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Being under two out of the three MA's is a great sign for shorters. The daily stochastic is showing signs of another bull rally that we show in the video but that means a lot of resistance has to break as well. Hard to tell right now where we'll end up..