BITCOIN RESISTANCE??? NEXT TARGET WILL SHOCK YOU (important)
Snipers, you have to see what’s
happening to the Bitcoin price.
This Thursday is we had our first test
of 58,300, and if you take the support
level that Bitcoin has followed since we
bottomed out and we were
to look at this resistance.
We’re currently showing confluence
with this $58,353 level with a daily
candle body closing extremely thin,
just the Wick at this level.
That’s a big puzzle piece
to talk about today.
But what’s more important is that we are
inside of this upper range of the channel,
which obviously in the past has acted as
a major resistance here
for Bitcoin at 53,000.
And the question is,
are we gonna be seeing a rejection
back down towards this $44,800 level where
we have the monthly open
and the 100 day moving average?
Or are we going to see this breakthrough
to potentially see new
all time highs sell?
A lot of this is gonna have to do with
what’s happening on the micro timeframes.
But I’ve been saying that if Bitcoin
maintains itself above the weekly open,
the potential for Ethereum
to move above this 34, 54 and 36.
50 resistance, which is
going to be extremely high.
And that’s exactly what’s happening right
now with Ethereum also trying to come
and test this extremely important macro
resistance level just below
the major resistance of 39, 59.
And then we’re gonna look at the revolving
parts of the market, as we always do here
on the four dimensional snipers channel.
But first, let’s dive into this Intraday
analysis because Bitcoin isn’t
a critical point so far.
Of course, we did see this daily candles.
I mentioned close very thin with a body
and a Wick that really we can’t
necessarily say rejected ETH $58,353
level, but we’re certainly
seeing Bitcoin slow down here.
And so I think that that’s
something important to mention.
We go into the six hour chart.
Notice how we also only
have a Wick at this level.
I always sell you guys you want to wait
for them four hour,
an hourly confirmations above major
levels to assume a true break.
And we’ve yet to even get an hourly body
candle to and Wick fully above
this 50 ETH thousand $353 level.
So until that happens,
we have to assume that the range
that we’re playing in is still gonna
be this weekly open at 54,850 8353.
And if we’re able to move back towards
this $58,353 level and get those hourly
and four hour candle closes above it,
that would be the most bullish case
for Bitcoin to potentially
run up and test 61,844.
And then, of course,
the next road block is going to be
the previous all time in at 64,855.
If this happens, we also assume the total
market cap is ready to break
into new all time highs.
And if we look at the total cryptocurrency
market cap chart, what you’ll notice here
is we’ve yet to really break new highs,
but we did break the recent lower high
that was formed on the 6 September,
and so Bitcoin has also done that.
But Ethereum has not done that.
Ethereum being the leading
indicator for Altcoins.
We’ve yet to break this
lower high from September 6.
So that’s going to be something
interesting to also monitor here
with the Ethereum market structure.
Now, when we come back to Bitcoin
and address some of the downside
scenarios, if the $54,800 level breaks,
I think that that’s going
to be a very big concern.
So we start to see hourly and for our
candles close below this weekly open.
At that point, I’m buying this $44,800
level where we have this monthly open.
I do understand 49,700 is a major
support level that is on the way.
However, with the way that the SMP 500 has
been reacting to ETH 108 and 50 day moving
average, I would assume a downside target
that would be appropriate would be
around this monthly open for Bitcoin.
And I think that’s also important
to address, and we know that a lot
of volume has been cleared out in the
range between this 53,040 $4800 level.
So the likelihood of price action actually
being able to slice through becomes
highly likely coming below 54,800.
So that’s gonna be the important
level to watch for the support.
And then, of course,
that 50 ETH thousand $353 level
clearly showing importance right now.
And Interestingly enough,
a lot of people are looking at this
Ethereum to Bitcoin chart with this rescue
operation in place,
this 200 day moving average,
I think that that’s also a very
interesting puzzle piece right now,
we have yet to get back above
the 100 day moving average.
Most Altcoins against Bitcoin er out are
actually not showing as much
strength as Ethereum is.
So the question we have to ask ourselves,
is this really the last breath
before we see continued downside?
Because the Ethereum the Bitcoin chart did
for the first time since it started
to really break out from this 20 week
moving average cross below it with our
weekly candle body showing a continuation
bearish candle at the 20
week moving average.
And so seeing some
upside right now is not necessarily
surprising that we just came below the 20
week moving average the same way that when
Bitcoin dominance first started to move
above its 20 week moving average.
It did take some time for it
to get fully above it.
But yes, you can see we are fully above it
right now currently with a bearish tail
on the weekly candle, but there’s
three days left for this one to close.
So we have to still assume that Bitcoin
dominance is in the early stages
of a reversal, which means that being
in Bitcoin is probably the safest hedge
right now in the market with this chart
that factors in all coins outside
of a theory in Bitcoin,
I think this is the first time that it’s
gonna really be important
to watch because of the theory.
The Bitcoin chart kind
of lagging right now.
Notice how with this chart,
we actually rejected this one in a day
moving average three times already,
and we’re back between the 102
hundred period moving average.
So maybe that’s a puzzle piece for what
the them in Bitcoin chart
could potentially do.
Maybe rejecting this 100 day moving
average because it currently is
trying to test it as we just saw.
And so I think that that’s also
an interesting puzzle piece to monitor.
And then when we go into some of the
revolving parts, the DXY is cooling off.
And so I think that that’s giving Bitcoin
and the other altcoins the opportunity to
see the upside that they’ve been seeing.
But we’re still above the major
support of 93 point 82.
Until we break below it,
you can see our daily candle closed
with a bullish Wick testing it.
That is just going to have to continue
to be assumed to be in a bullish trend
until the DXY is potentially
going to break 93 in eight two.
If it does it, the next
target is 95 point 85.
And so the DXY moving up is never
a good thing for traditional asset.
That’s why the SMP 500 has been
maintaining price action for the most part
below the 50 day and 100 day moving
average for quite some time.
Today was the first day that we saw
it come back towards the 50 day.
We can get above the 50 day
moving average ETH SMP 500.
I think that would be a huge positive
for the cryptocurrency market because
that really changes the environment
outside of Bitcoin to be in the favor
of the Bulls in the favor of more upside.
So it’s a very, very critical time.
In my opinion, Japanese markets gapping
up above all daily moving averages.
That’s a positive puzzle piece,
but of course, they’ve been
seeing a lot of weakness.
Gold recently pushed up to 1794.
It’s been a while since
we’ve seen gold pushup.
Nothing really crazy to go home and sell
grandma about just yet with gold.
But this does kind of give us a little bit
of an indication of how institutions
are hedging their bets in the market.
And so far it seems like they are a little
bit risk off coming into gold
and gold obviously still breaking its new
yearly highs,
but still yet to conquer the daily candle
with the bearish Wick, just seeing price
action within the range of the Wick.
And so until that happens,
I don’t know if we can assume
a continuation here for oil just yet.
There’s a potential we could see some
downsides, especially with demand
still waiting off since 2019.
It’s all about supply and demand.
Once again, one of the interesting puzzle
pieces from tradition markets that we have
been watching is going to be the
silver to Bitcoin chart.
Notice how it broke new lows recently.
But I want you to look at this
gold to Ethereum chart.
Notice how it’s actually at the support
level of very, very macro
structural support here.
That’s going to be interesting
to watch if we break down below this.
That could be an indication of something,
because remember, this is how we predict
the top for Bitcoin
on the snipers channel.
We used the gold to Bitcoin chart
to predict that Bitcoin was going
to potentially top out on April 14 because
we saw this wedge pattern
that was potentially aiming to break
above the 50 day moving average.
And that was exactly what happened in 2018
when Bitcoin topped out at 20,000.
We actually saw the same exact thing
happen where the first time that this gold
to Bitcoin chart went above this 50 day
moving average, it was
a confirmation of a top.
So we use that as another confirmation,
and it turned out to be true so far.
But things are actually looking the favor
of Bitcoin on this chart, in my opinion,
being the fact that we crossed back below
all daily moving averages on this chart
that shows that Bitcoin is certainly still
a lot stronger than gold as
a storage of value and as a hedge.
And so if this continues to break down,
that could also strengthen that thesis
that there’s two reasons Bitcoin
dominance is potentially moving up.
Number one, we’re seeing a new Bull cycle
start with Bitcoin, where the total market
cap in Bitcoin will rally into new highs
and the altcoins will follow a little bit
later, and Bitcoin downs will potentially
come towards the 200
moving average at 57%.
Or the other thesis is that Bitcoin
dominance is rising because
altcoins are moving into Bitcoin.
That could be true because you look
at this altcoin list that we have
and a lot of the altcoins are red.
And so that could justify where
the liquidity is coming from to push
Bitcoin price up to eventually bring the
total market cap down, including Bitcoin.
And then, of course,
Bitcoin sees less downside, and that’s
why it was smart to move into Bitcoin.
That’s kind of the patterns of the past
playing part if that were to happen.
So those are really the two scenarios
that I think that we need to monitor here
on the macro
for the cryptocurrency market.
And with that being said,
thank you all for tuning
into the Snipers channel today.
I’ll see you all on the discord, and we
haven’t taken any shorts positions.
By the way, a lot of people asked me if
we took a shorts on a theorem or Bitcoin.
I have yet to take a short.
I’m glad I haven’t yet.
Especially the strength that Bitcoin
is seen towards the ETH thousand 353.
I don’t think it’s the time to shorts just
yet, but if we get a confirmation
of a rejection here,
that could be a different story.
But we do have these new market structural
levels that we are going to start watching
this channel for Bitcoin as well as
the symmetrical triangle for Ethereum.
And I think that that’s going to give us
an idea of where things are going to go
more towards the latter part of this week
into the weekend where the markets are
the most manipulated due to see features
being close, that’s going to be
an interesting thing to watch.
And so that’s it for today
until next time.
I hope you enjoy today’s analysis.
I’ll see you guys soon.
Snipers out.
