A week ago, we presented some analysis from leading analysts, indicating their bullish stance on the market. At the time, we pointed out that, as a rule, when the sentiment is this positive, Bitcoin takes a completely opposite direction. This is also what happened at the beginning of the current week. So what lies ahead for the leading cryptocurrency next?
Material Indicators points to levels worth watching
Great work for the umpteenth time is demonstrated by @MI_Algos, who, noting the elevated volatility, rushed to Twitter on Wednesday, June 7, to report on the current shape of the BTC order book. The data he presented shows that at current price levels, liquidity has become weak, causing the 200-week SMA to face a threat. As he reports:
“BTC is currently retesting the 200-week MA, but bid liquidity is somewhat weak here. If the 200 doesn’t hold, we expect another retest of the 50-week MA, where liquidity and sentiment seem stronger.
Note that we already have a double bottom at 50. A triple bottom would be bullish. A pullback in the carpet at 25k would clear the way to Bearadise.”
This scenario indicates that Bitcoin’s re-visit of the area just above $25,000 is still possible. If this level is not maintained, the bears will come to the fore again.
CJ explains the situation in simple terms
The analyst known as @irncrypt has opted for a simple solution. He pictures the chart in the clearest possible way and adds:
“Above 27,565 good,
Below 25,857 bad.”
In doing so, CJ does not detail any particular moving average. He views BTC price action through the prism of horizontal support and resistance levels. These seem highly justified here.
Blake takes a different perspective
The analyst known as @blaakke needs no introduction. We have already presented his analysis in the pages of our press. Today we do so again, as he notes a very interesting point.
“The dominance of stablecoin (USDT.D + USDC.D) is an attempted upside MA cross on the weekly chart… not exactly what the bulls want to see here.”
This is definitely a very interesting perspective, different from all others. Interestingly, the events in the chart cited by Blake occur at a time when the MACD on Bitcoin’s weekly interval may make a bearish cross. Such a situation has the right to trigger further downward movements in the cryptocurrency market.
Castillo Trading hints at a continuation of the downward movement
Finally, we present information from @CastilloTrading, which perfectly predicted the point at which Bitcoin allowed to open a ‘short’ position. According to the analyst, the continuation of declines seems inevitable.
According to the markings in the attached graphic, we see that its target is the area around $24.816. Interestingly, this zone was also designated by us as a potential medium-term target for BTC.
And if you haven’t yet read our analyst’s work, we encourage you to do so. You can find the latest article here:
“Bitcoin struggles with the 200-week moving average – its maintenance may determine the price action of the coming weeks.”