Tomorrow we have the monthly candle close for Bitcoin... What should we be looking for?
We have many clues to look at but we will focus only on 3 in this article.
Bitcoin Monthly Signals
1) This is the first month that Bitcoin will close below EMA10 ($44,455) since March 2020.
2) We have bearish indicators. The indicators, MACD and RSI, are both on the bullish side but trending lower. The MACD is trending lower strong with a bearish cross also in place and the RSI is in a strong decline as well.
3) BTCUSD Monthly remains above EMA21. This is actually a positive signal since EMA21 is working as support. Closing above it this month signals that the bulls are still fighting.
BONUS SIGNALS
*) This month closing below $36,500 or EMA21 can lead to a 3 crows pattern, which is a bearish signal. When this pattern comes up we first see an initial bounce and then a strong drop. Candle closure is needed for confirmation.
*) Double top bottom between April and November 2021.
We know what to look for once the monthly candle closes...
One last question before we leave... Do you think Bitcoin will complete its correction at -72%?