After one mini-bullish period of two weeks in crypto markets (arguably only one week) we can see that BTC hit major resistance. As seen on the daily BTC chart resistance is strong, and it is resistance that is in the making for 12 months. We stick to our crypto predictions, most importantly 2022 is going to be a year characterized by hyper bi-furcation.
We can be very, very brief in this post.
It was pretty impressive to see how BTC was able to clear the falling trend that started mid-November, arguably early December. The bounce started after the capitulation weekend that ended on Monday January 24th.
The problem with these impressive bounces is that they are able to completely sidetrack market participants. Yes, the bounce was great. No, there is no bull run. That’s because BTC hit resistance, we would say BIG resistance.
The fact that BTC has been rising for 2 weeks is meaningless, it’s going to sidetrack investors. What really matters is the bull trend confirmation, and it comes with a break above the long term rounded bearish topping structure.
It is a structural rise that is meaningful, not the number of days of a rise.
That said, even more interestingly, our algorithmically defined buy signal for medium term oriented BTC investments came in *exactly* at the same price point as the resistance that was hit on Friday. The market rejected both chart resistance and our buy signal, there was no confirmed buy signal, very accurate chart and algo readings. Note that this algorithm is created by InvestingHaven’s research team, and is used in the soon to be launched crypto auto-trading service.
The rejection of Friday is clear, and suggests we better look down now. Where is BTC going to stop falling? That’s the one and only question that matters. FOMO is not relevant until proven otherwise!
First lower, and depending where BTC stops falling it will inform when/ how much/ how long higher BTC will go. As BTC goes so goes the rest of the crypto market.
In our premium crypto service we are about to launch a pilot in BTC and ETH auto-trading.
