Good day Hiveians!
Join me in analyzing the crypto markets!
First of all, good news!
Bitcoin actually held the 34k-35k price level that is necessary for the scenario I laid out over the last few days. We still have to wait for the weekly candle to close at this level to be certain, but so far it "feels" bullish again.
Just to recap; I am arguing that the whole market is going to max out in this summer with bitcoin at around 100k.
When we look at other coins, e.g., Hive, we have to take the whole market movements into consideration. So in this post I will also argue for a peak of Hive's price at some time this summer. If you want to know why "this summer" check out my last post.
Back in early December I argued that we would see a big correction for Hive after the epic run up. Little did I know that this correction would be a "bit bigger". I thought that we would go back to about 1$ at the worst, but Hive went all the way down to $0.72! Ouch... Well not ouch if you had some cash lying around that you are able to spend/gamble.
But there was another post some weeks after that where I mentioned two main scenarios. The green one was a lot more bullish than the purple one. And it seems that we have entered into the latter. Notice how well this scenario predicted the lower price range; this is because the $0.7-$0.9 range is the main support for Hive. This should be the bottom, especially considering that Hive crashed 79% from its ATH!
While we are probably not looking at $25 for this cycle, $5 is a real possibility
$5 seems to align perfectly currently. If you look at the chart, you can see that there are two trend lines coinciding exactly at the summer time frame. The first one is the long trend line from the previous ATHs; the second one is the former support from the base of the upward moving channel we were in. This is the "secondary resistance" which should be very difficult to breach. It gives us a price range of 4$-$6 and corresponds to a ~600% price increase from the current lows. Notice that the "secondary support" has now turned into a resistance again.
With time we will know how realistic this scenario is and if perhaps an even more bullish scenario is more realistic (which is doubtful currently). This is a fairly conservative scenario in my opinion and would only be invalidated if Bitcoin goes for 30k again.
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!
Check out the Love The Clouds Community if you share the love for clouds!