- Bitcoin initially did try to rally during the trading session here on Friday, yet again, as the $120,000 level continues to be very important.
- The $120,000 level has been like a brick wall for this market and the weekly candlestick looks very much like it's going to end up being a shooting star.
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We've had several shooting stars during the week, so perhaps we get a little bit of a pullback and that would make a certain amount of sense considering that we had shot straight up in the air, consolidated a bit, shot straight up in the air again, and now we are trying to consolidate. That being said, I don't have any interest whatsoever in trying to short this market. It's far too strong.
And if we do fall from here, then I think the best part of that is that it gives us the ability to pick up Bitcoin cheaper, the $110,000 level underneath should be significant support, and I would love to see Bitcoin pull back to that area where the 50-day EMA currently resides and the fact that we have so much in the way of resistance. Previously opening up the possibility of market memory.
If we break above the high of the Monday shooting star somewhere near the $123,000 level, then I think we just launch higher. The measured move would be about $10,000. So, you'd be looking at a move to about $130,000 at that point. Bitcoin is still very bullish, but I also recognize that part of this move was due to crypto regulation going through Congress in the United States, which is seen as somewhat friendly. Whether or not we can continue shortly or if we need to pull back first, I don't know, but I do know you need to be thinking higher.
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