May 20, 2021
Bitcoin Technical Analysis
Here is a long-term Bitcoin chart. From late 2020 through April 2021 it was a textbook uptrending chart. Notice the higher lows I drew under. When there is a "pull-back" it quickly recovers and keeps going. It did this four times as you see from my lines. It started going range-bound after the top as momentum slowed. The two orange lines show the rough trading range. It finds resistance, comes down and finds support and this continues. The crack of that support in late April was when momentum died off and it hasn't recovered. This was a "technical breakdown." Old range support is now resistance. It is more of a bearish chart at the moment meaning sellers are in control. It isn't a buy here unless momentum comes back and it starts to breakout to highs again. I see it just bouncing around going sideways or flat out crashing for a bit. The more I look at the chart the more I see a rounding top formation that I drew up in the second chart. This is definetiely a topped out chart.