Good day Hiveians!
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It's been only 2 days since my last Hive post, but I got something important to share
I think the chances of a brief crash to ~50 cents for Hive is extremely high right now with Bitcoin failing to uphold the ~36k level which I have pointed to in the past.
In the last post we talked about the ascending chanel and the horizontal divide in Hive's price chart. Here is the chart again showing the channel as well as the top down divide I highlighted. Notice that the trend lines drawn here represent different scales. On the weekly scale we have the thicker blue lines and the wicks on the daily chart seen here in the thinner blue lines.
It seems that the ascending channel will touch the lower part of the channel (thinner lines) which is currently at around ~50 cents. Compare this with the fractal marked with a "1". This also saw a brief crash down to 16 cents which I actually correctly pointed to at that time. I think we could see pretty much the exact repeat of that but this time with a support at ~50 cents.
And by that I really do mean a very close repeat. Going back to that level would also be a 85% correction from the former ATH. When I see things like that coinciding my confidence of that kind of scenario happening grows by a lot. It at least shows that there is currently the potential for such a strong correction. But the important thing that I would point to is that this is a brief correction. In other words, this should be only a wick on the weekly chart. Prices will probably stabilize at above the thicker blue horizontal trend line at about 66 cents. In theory, this should be the start of the next impulse wave and could finally mean that prices on average go up again.
I am therefore updating the chart with two new scenarios. Both see a dip to ~50 cents but one recovers to higher levels and may even test the former ATH with the second one not being able to hold the ~60-70 cents price range and falling below the key horizontal blue trend line. This would be very bearish and we would probably retest the 10-20 cents area...
Nevertheless, there is hope for the more bullish one as well as the previously identified fractal shift still seems to be in play.
As a general reminder: Please keep in mind that none of this is official investment advice! Crypto trading entails a great deal of risk; never spend money that you can't afford to lose!
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