In my previous Bitcoin analysis titled “Warning: Bitcoin Bulls Are Back. Price Surge To $13k In The Next 24 Hours!” I talked about the $12,101 critical support level Bitcoin needed to break for the price to surge to my $13,000 profit target.
I also warned about the potential for the Bitcoin bulls to lose steam and for the price to crash back down to the $11,104 support region if that key $12,101 resistance holds.
If you had followed that Bitcoin analysis, then congratulations, you should be deep in profits right now following that massive dump we saw occur in the Bitcoin price earlier on today.
However, the big question most traders are asking right now is “is the Bitcoin crash over, or can we expect to see a deeper retracement in the Bitcoin price?“
And in this Bitcoin analysis, I will be answering that question to the best of my ability. I will also be providing you my forecast and trading outlooks for Bitcoin.
Bitcoin At Key Support. Will The Price Bounce?
The Bitcoin price is currently testing the $11,104 key support. I have talked about this support in my previous article, pointing out the importance of this support to Bitcoin bulls.
I believe a price break of this support could see Bitcoin crashing down to the $10,000 region or even lower in the coming days.
However, if we see the Bitcoin bulls hold this region, then there is a very high likely hood that wee might see Bitcoin reverse its current losses and begin heading higher soon.
Important Levels I am Watching For A Trade Setup
The two most important levels I am currently watching for potential trade setups are the $11,104 support region and the $12,101 key resistance level.
A break of the $11,104 support would signal a sell for me on Bitcoin. While a break above the $12,101 resistance will signal a buy for me.
I will also be using the Ethereum chart as a leading indicator to increase my confidence in the Bitcoin trend direction and for further confirmation for my Bitcoin trades.
You can read my article titled “Using Ethereum To Predict The Next Massive Move On Bitcoin!” for more information about this confirmation method.
To gain more information on how to partake in this coming Bitcoin Bull run and trade this cryptocurrency, you can read my How To Trade Bitcoin Guide. You can also check my top list of Best Bitcoin Exchanges To Trade With.