Daily candle closed bearish . The price was trying to moved upside but it did not pushed through to our major resistance $40700. Market has low volume and low liquidity during weekend.

Weekly did not closed above $40700 and daily candle closed below of laging indicator daily moving average 600. Based on $Bitcoin historical index, (The $BTC behavior in 2014-2018-2022 comparative chart above). As you can see after the ATH , the price begins to squeezed between daily moving average 200 and 600. A further downside or a huge dump followed after the proper breakdown of daily candlestick below of 600 day moving average. If history repeat itself, we might see a huge dump under $30k level.

And on daily timeframe , i can see a big bear flag pattern that the target is pointed in $26k. If you compared the dumped last 2014-2018 all were retraced by more than 50% before the accumulation begin. If there’s a possible that we fall down to 50% from $37k.. i can see the $20k-$19k bitcoin price there.

Of course that is too early to say that but we should be prepare for any possible scenarios and we can say never.

Now that the candle is trading below of 600days moving average, the last chance for bulls is $37500. We need to bounce from there with good volume and i will initiate to enter long from there as it is the area of our uptrend line of ascending channel as support. Above $42500 bulls will getting stronger and we can see the $50k region.

For bearish scenario, if we cant hold the $37k area. I expect a long red days and weeks. And be careful cause the $26k-$19k will possibly to playout. Ots not so soon but let’s see how it will goes. Cause everything is all about of liquidation and when everyone turns bearish , the market goes beyond of your expectations.