Bitcoin rallied a bit during the trading session on Thursday, but we continue to go back and forth and essentially get nowhere. Overall, the downtrend line has been very reliable, and it continues to keep pricing down. However, we have massive support at the $6000 level as you all know. This is the situation that continues to be the same, we go back and forth and essentially do nothing. The downtrend line being broken to the upside of course allows this market to go to the $7500 level, and then eventually the $8250 level above. At the same time, we could end up going sideways, breaking through the apex of the descending triangle that has been such a major feature of the market.
However, if we break down below the $6000 level and even lower to the $5800 level, the market should then break down rather significantly. At that point, the market should then go to the $5000 level next. If we break down below there, then the market could unwind massively lower. In this current environment, it seems as if the Bitcoin market cannot pick up its feet, so at this point I suspect that we are more than likely going to see either sideways grinding through the apex of the triangle or break down. This has essentially been “dead money” for some time, and I don’t see it changing in the short term. After all, there is nothing out there to be a catalyst to push this market in one direction or the other. The longer this goes on, it’s likely to be a market that goes sideways and simply puts everybody to sleep. If that’s the case, we could see an even longer range of sideways action.
