BITCOIN CORRECTION IS HERE?! HOW LOW CAN WE GO?
We have been making some updates, in which i shared a few, that i probably be cautious with the current environment of the market, and i did not see what i wanted to see when we break an all time. High region or previous resistance and ive been shot for that fact, because everyone, or like most of the markets, were anticipating a bullish breakout to take place, didnt happen, and therefore we see some downwards momentum right now. So where are we with? The cycle is plan b, um prediction with 98k going to be wrong um. I think it will – and i think its going to put some more pressure on the markets overall, but were going to discuss that were going to discuss bitcoin and eat um and also um were going to look at several time frames with this update. But before were going to continue, i ask you to subscribe to this youtube channel. Like this youtube update next year, we are going to build an entire youtube studio. We are also going to do a podcast studio, so definitely check out. If you want to have a career at eight global as were going to hire a big amount of new people to the company, also do not forget to check out my twitter and instagram, where you can find daily content december is going to be a massive month And today, im going to join crypto burp with its trading conference with a live session at 5 pm central european time, so lets look at the charts and ive got a completely clean chart.
We have been stating that the weekly of last week and the actually weeklies of the past weeks were not too bullish at all. Weve got some questions there with the imp and the fact that um we had a breakout above all time high. We had an immediate rejection back back to the re through the bottom of the range um, then another breakout of the all time, high, immediate rejection and coming back down to watch range lows. If i look at this weekly chart, bearish people would assume that were into a rising watch and that were getting into a bear market. Once we drop below 60k right thats, the bearish few various bias bullish people would say this is just a retest of the previous high and were just going to continue. Realistically, i would say that were in the fact of getting a corrective notion or corrective move on the markets through which we might be getting lower than what you want to be seeing because um, there is a variable right now that could be giving an additional sale Pressure to the market, which is the plan b stock to flow model based on the fact that, if that one is going to be wrong – and we still have 14 days to the end of the month. But if we get to anywhere close of that, um deadline of 98k and price is just going to stabilize around 60. He will be wrong and then the fact that so many people follow him and the fact that his motto is one of the most reliable models in the markets it could put or make the people decide to sell their positions.
Based on the fact that theres no real model left to use, so we could be seeing a further corrective move on the markets. So, im just being realistic here that if the market markets are going to drop a little bit lower, i think were going to have a more swift correction taking place. So what are the levels that you should be watching? What are the levels that you should be getting interested into? The markets overall again well were still above 58k, so that entire region, especially if you look at the lower time frames, is a very important level to watch, because if that one is going to hold were going to, we potentially might be seeing further upwards momentum. What lucas said, corrections take longer and we just had a run of 50 days upwards, so we potentially are getting a more swift correction. I think we will, but we will if the 58k level is going to lose its support. If that is going to lose its its level or, if were going to drop beneath, then that is going to be painful and then were going to have a swift correction. All the way back towards low 50k region in which were going to test some lower levels, but even if we do, even if we drop below 50k or we get to watch 50k or anywhere in that region, what is the crucial level that bitcoin should be holding That is this entire block here.
So, even if we get a correction and re test, some levels just like we have been doing before so um thats the weekly level, this is the daily level, so this entire region is the level that we should be holding in this run up. We also had a few breakdowns. We had a breakdown, we rejected, we had another breakdown, retest a level, and then we continued to move so we, this is the crucial level that we should be hauling if bitcoin is sustaining above the level fine. What are the levels that we could be testing for any retest in this market and where i get interested into the markets again, of course, sweet spot is around 48k thats this low about of the range, if we test that level again beautiful im in, but i Do not assume that the markets are going to give such a beautiful entry point, i think, were going to get the correction taking place all the way towards this region around 53 to 55k and then were going to have a continuation taking place. If we look at corrections that took place in the markets overall, 0.5 fibonacci and a retest here has been taking place if we use the fibonacci extension on this move. 0.5 fibonacci is around 54k also re testing, the previous high, which has not been tested yet so, based on the daily time frame. Im going to look at those levels, weve also been breaking south from the rising wedge.
We are currently seeing some downwards momentum. However, we are not really seeing panic at all. Most of the people are still in any long entries, so where is the actual pain going to start? If we get another swift move which is going to take place, if we drop the lead – i guess around 58k or beneath this reason low. If you drop a need, that is going to be the point where the markets are going to get triggered and where longs are getting liquidated. And then you get such a wick taking place within a few days. But at least corrections take a little bit longer than one day thats, something you should realize. So if you want to get into the market the period to get into the markets is coming near by you and then once the markets are bottomed out. That is going to be the period where all coins are going to do really well its also a lesson to take your profits in all coins, because they are simply not going up all the time. So bitcoin is correcting um lets. Look at the lower time frames because we have been discussing those as well, in which we stated that the 66k level was a crucial one to break through, and we beautifully retested the 60k zone and slam dunk all the way down in which were currently facing the Range low for support right so were back at support short term.
We might be getting a slight bounce taking place here, but overall, if were looking at the four 4 hour time frame, we are making lower highs. We are making lower lows. So if we want to clearly get bullish, i think the market has to break above 63k. If that is not going to take place here or that is not going to happen, so we get a slight bounce back up that could be possible. Then we retest the lows once again, we are taking out all these stops here and i assume that were going to have a very brief and hard correction, all the way towards low 50k. The fact that weve got so many stops here is going to trigger a bunch of people to get stopped out and liquidate it, and due to that fact, i think were getting a bigger move than the one that weve just been experiencing. So i think the sweet spot is coming. I think that december is usually giving us a corrective move. If you go back in history, we are getting those corrections taking place too. So this is quite normal and i think you should be realizing that the four year cycle is going to be moving out of the markets at some point. So if that is going to be taking place or what are were going to have some longer lengthening cycles, actually great its giving you more opportunities to accumulate and to get into the markets, but the markets will be coming more complex.
2017 2014 were relatively simple markets and will become more complex. You need more data to have an edge in the markets, thats fine, its cool, but it also assumes that if everyone believes that its a four year cycle most likely it will not be take, it will not be a four year cycle. So if were looking at ethereum against the oct, we get the exact same view. Here. We have been running to the 1618 fibonacci extension right. We have been take weve, been running to that level and weve started to turn around, in which we see that longs are getting squeezed or getting hit. So where are we looking at for potential entry points once again on ethereum against uct? We are also deriving that from fibonacci extension, which is number one and the second one we can derive it from previous heights. From that perspective, we could be looking at a correction that takes place all the way back towards this region. Around 3.7 k, we can also look at the high here around 4.1 and 4k, but i think the sweet spot is somewhere in this region between 3.7 to 4k. Also, you should realize if bitcoin is going to have another swift correction, ethereum against bitcoin and all those bitcoin pairs will see some pain too and then um once bitcoin is bottom out, they will be starting to starting to show strength. Price action here looks very familiar to the price action that weve seen here in which the price re tests previous levels before it starts to continue moving so thats.
Why im? Assuming we are getting correction towards this region and then we get close to a phase where people start to assume that the markets are becoming more bearish and they are assuming that the markets will drop even more and thats, usually a period where you get into the Markets right now also, if uh bitcoin against uct, is going to drop another 10 percent towards 54k. This one is going to drop to 3.9, assuming that ethereum against bitcoin will drop another like six seven, eight percent. Then you get to watch 3.7, so it makes sense. So thats the update for today um. I think you should be realizing that the markets might be correcting for a little while, and that is fine. Today later today were going to discuss a few altcoins with their price predictions. Do not forget to subscribe to this youtube channel.