We successfully welcomed the weekend and witnessed Bitcoin's sudden drop from 123,293 to 111.910. So, today, let's analyze what the future holds for Bitcoin after its weekly K-line reversal.
Currently, Bitcoin is trading at 112,390.7, representing a high after a sustained rise. While in a correction phase, various indicators suggest weakening short-term momentum, the long-term upward trend remains valid.
In the short term, Bitcoin faces some correction pressure. Bullish momentum has weakened recently, with prices falling below the short-term moving average (MA7). Indicators such as the MACD, RSI, and KDJ all indicate a clear short-term downward trend. Further weakness to the middle Bollinger Band (both at 101.332) is possible in the short term, and I will be closely monitoring the performance of this key support level.
In the medium term, if Bitcoin can hold onto medium-term support (such as the MA30 and the middle Bollinger Band), it may resume its upward trend after a period of volatility. This is because the upward trend of the long-term moving average and the middle Bollinger Band remain intact, and the upward trend framework remains intact. In the long term, Bitcoin is generally trading within an upward trending channel. The MA30 line provides long-term support to prevent a potential threat to the upward trend structure, maintaining a long-term bullish outlook.
The three red soldiers candlestick pattern on the K-line indicates a strong upward trend in the previous session. The recent appearance of a bare-headed and bare-footed bearish candlestick pattern, a top bifurcation, or a belt-holding line, suggests short-term correction pressure.
The MA7 line has turned downward, indicating weakening short-term momentum, while the MA30 line remains upward, maintaining the long-term bullish trend framework.
The TD series indicates weakening upward momentum, with a pullback starting after the high point. The 100-day indicator suggests the market is entering a correction or wait-and-see phase.
The MACD fast and slow lines have crossed with increasing green bars, indicating declining market momentum and increasing short-term bearish pressure.
The BOLL Bitcoin price has retreated from the upper band to near the middle band, indicating a correction amidst the market's strong volatility, with the middle band providing support. The RSI indicator has retreated from its high level, weakening short-term momentum, suggesting the market is entering a period of volatility or high-level correction.
The KDJ indicator has entered a downward channel, with the three lines retreating from overbought territory. Short-term risk appetite is declining, and bearish momentum is dominant.
Possible levels for Bitcoin to reach are as follows: 101,332-98,000-80,000
Possible rebound levels for Bitcoin: 123.293-126,000. This is the potential maximum level after the rebound.
