Typically, during bull trends, BTC historically saw 20% to 30% drops.
There is a possibility that a large pullback could ensue if BTC fails to reenter the parabola.
According to the 12-hour Bitcoin price chart shared by the pseudonymous trader "Altcoin Psycho," BTC is now out of 2-month the parabolic advance.
The trend does not necessarily indicate that BTC would see a deep correction in the near term.
Long-time technical analyst John Bollinger said that BTC is likely to pull back or consolidate.
There is always a possibility that BTC could see a stronger rally in the near term in a different technical structure.
There are strong chances that BTC could either continuously surge upwards or see a major price drop.
If Bitcoin drops below $15,500 it would mean that the probability of BTC testing low support levels is high.
Although the weekly chart does not have to retrace to MAs, in previous bull cycles, there were instances where the weekly chart retested lower MAs.The variable is whales selling BTC. Since Nov. 10, Gemini exchange recorded unusually high deposits.
In the foreseeable future, if BTC struggles to recover, the selling pressure from whales and miners would remain as important variables.
Traders say $15.5K level 'crucial' after Bitcoin price dips below parabola
Published on Nov 16, 2020
by Cointele | Published on Coinage
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