In my previous posts, I have outlined the bullish scenario which seems highly likely. Since so many people right now are bearish , it would make since for there to be a massive washout of shorts before potentially continuing a bear market. Although, we do live in very uncertain times, and it is important to examine the bearish scenario. This will give us a good idea of what to look for over the next couple weeks.

In the chart on the left you can see we have broken out of our main channel but are still holding support at our wick trend line (dotted line/green arrows). As long as we maintain this trend line of support, we can see a move higher. If we are to lose this level of support and close a full candle body below this trendline, it could spell trouble. If that happens, we could fall all the way down to our demand zone ranging between $28,000-$32,000ish. This is what I have outlined in our weekly chart on the right. You can see how important our current weekly level is ($38,500) and how price has reacted to this level over the past year (yellow circles). I am still more bullish than bearish as I like to buy the fear and sell the greed, but I wanted to layout the scenario for further downside action.