The overall Bitcoin price action is in an impulsive decline after experiencing a major rejection from the long-term resistance level at $18,000. If the $15,000 support level fails, the bulls could run into a lot of trouble soon.
Written by: Idris
Looking at the daily chart, the price is swinging in a large falling wedge pattern. Although this is usually a reversal pattern in a downtrend if it is broken to the upside, the price failed to reach the upper boundary as it was rejected by the $18k resistance and the 50 day EMA which lies in the same area. the price. For the time being, a drop to the $15,000 support area looks possible as there is no other major support level on the way.
However, the $15,000 area and the lower trend line of the falling wedge are very close, which increases the chance of supporting the price and pushing it towards the $18,000 level again. It will not be superfluous to stress the importance of the mentioned support level, because its collapse could lead to another bloodbath.
4 hour chart:
In the four-hour period, a classic bear market structure is developing, similar to the higher time frame. The price broke below the $16,800 minor support after failing the recently formed ascending trend line. The $16,800 level and the broken trendline are now considered resistance, as the former is already pushing the price lower.
In addition, the RSI indicator, while recovering from an oversold condition, is well below the 50 mark, which indicates a strong bearish momentum that could soon push the price towards the key $15,500 region.
Written by: Idris
Pisces ratio in bitcoin exchange
The metric whale exchange ratio is commonly used to show the behavior of whales, as it is calculated by dividing the whale flow to exchanges by the total daily flow. During the last cycle and first phase of the 2018 bear market, this metric increased exponentially as many whales sold their currencies on exchanges to protect their profits and reduce risks. This behavior led to a terrible downtrend. However, the scale started a downtrend in the second stage, as the price started to recover and start a new upward path.
Recently, the same behavior has been seen as whales are depositing less coins on exchanges than the rest of the market participants, which may indicate an approaching price bottom. However, this could also be a consequence of FTX’s bankruptcy and possible bankruptcy, as the whales do not trust the exchanges enough to hold their coins on them. This drop in the whale ratio scale could create a potential supply shock and eventually lead to a price drop soon.
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