Is Bitcoin Trying To Start A Reversal Around Current Levels?

There is a fair chance that 2022 may start in a great way for Bitcoin. Whether it will be good for all coins is a different concerns, we keep believing that active bi-furcation will start crypto markets as per our crypto forecast 2022. That stated, we likewise believe it is reasonable to begin switching to a more bullish stance for crypto as a short term 2022 forecast. That's since the very first signs of stabilization right above 47k in BTC show up. It's a little prematurely to tell but we should now in the next 3 to 4 trading days.

What is it that is attracting our attention on the Bitcoin chart?

Well firstly, the short term timeframe. Although not included in this article the shorter timeframe (which will be made available in our crypto investing research location today or tomorrow) shows solid indications of support right listed below 46k. It is tough to see, you need not only a skilled eye but also the ideal trendlines and chart structures. It is noticeable, and it is the very first useful sign given that mid-November.

Second, if we zoom out the everyday chart begins revealing the first part of the turnaround might be almost complete now. This does not imply that a huge bull run is imminent, on the contrary. A lot of hard work is needed, and above all the crucial 46-47k level needs to hold strong (bulls can only accept intraday wicks) in or below that level).

Here is the point: a turnaround has 3 parts. The downtrend, followed by a stabilization and next the start of the right part of the reversal. Only when this process is total can we reasonably anticipate a solid structure for a leg greater.

The first part of the reversal took 2.5 weeks to complete. Assuming that we are near the middle part we can also fairly anticipate that a good result will take another 2 weeks of base structure. Once again, present levels can not be violated.

We would not be shocked if BTC goes back to 56k in January just to test levels around 59-60k late in January. All this, obviously, assumes that international markets don't crash between from time to time. It's an essential presumption.

In our crypto investing research service we are preparing our regular charts updates in 30 unique coins. This comes with conclusions in which locations prospective chances may emerge, but also when to understand that to be protective.