The Seattle Seahawks' season had crashed as rapidly as bitcoin's price during COVID, leaving both their fan base wondering if the glory days were over. Then, out of nowhere, Pete Carroll’s squad manages to breathe new life into their season against one of the best teams in the league.
While one game or one green candle does not mean full recovery, there is hope. While the analysts remain critical, this asset class is real. There will always be doubters and just as the Seahawks make a final run at a playoff berth, Bitcoin needs to push for a strong finish to close out the year to silence the skeptics.
In this week's edition of our newsletter, we reflect on the previous week's analysis that highlighted an impressive streak of 8 consecutive green weekly candles for Bitcoin. However, the pattern has taken a turn as Bitcoin closed the Past Week with its first red candle. Bitcoin now finds itself navigating below a significant weekly resistance zone between $43,200 - $44,700. Breaking through this zone could signal an upward trend towards the 48k- 50K zone, while staying below it could take the price further down to 38K-40K level.
Analyzing the daily chart, Bitcoin is consistently forming lower highs up to the current moment. Significantly, the OG cryptocurrency has undergone two tests of the 21-day Exponential Moving Average (EMA) within this timeframe. The repeated tests, coupled with the inability to establish higher highs, amplify the uncertainty regarding short-term market dynamics. In essence, the bullish scenario relies on Bitcoin forming a higher high, while testing the 21 EMA again leans towards a bearish outlook.
Bitcoin Market Cap
Disclaimer: The information provided in this newsletter is for educational and informational purposes only. It should not be construed as financial advice or a recommendation to buy, sell, or hold any financial instruments.