The arguments for a big market correction are gaining strength. As Bitcoin approaches another heavy resistance barrier buying pressure is likely to diminish as previous charts have shown. If and how far it will fall remains the big question this week.<\/p>\n
When Bitcoin broke through the 200 day moving average there was a lot of optimism for a move up towards $6,000<\/a>. However another big barrier stands in its way in the form of the 50 week moving average which is aligned with further horizontal resistance.<\/p>\n According to trader and analyst Josh Rager this could create a pivotal point for Bitcoin which has previously been held down by this technical indicator;<\/p>\n https:\/\/twitter.com\/Josh_Rager\/status\/74954501<\/p>\n Historically then Bitcoin\u2019s highest price in the short term may only be $5,634 where it meets the 50 week moving average. During the bear market of 2015 this level proved to be a reversal point of the rally which led to a final capitulation before any major recovery began. The dump then saw BTC fall to around $200 which was 82% down from its previous all-time high. Sound familiar?<\/p>\n The 200 week moving average, not to be confused with the 200 day MA which Bitcoin broke through last week, has been a solid support zone then and today.<\/p>\n Charts are wonderful things as they can tell whatever story you want to hear. As a counter to the potential pullback theory is continued consolidation. Bitcoin consolidate for 150 days around $6,000 before breaking down. When it did it dumped 50%.<\/p>\n BTC also consolidated for 130 days at around $4,000 before breaking out which has driven a 25% gain.<\/p>\n $BTC<\/a> consolidated for 150 days at 6000 before breaking down. I don't really see the rush to short. — DonAlt (@CryptoDonAlt) April 8, 2019<\/a><\/p><\/blockquote>\nPullback or More Consolidation to Come?<\/h2>\n
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Once it did it went down more than 50% in a month.$BTC<\/a> consolidated for 130 days at 4000 before breaking up.
We're currently up 25%.<\/p>\n
Even if we get rejected it'll take a while. pic.twitter.com\/esXIvTyv1n<\/a><\/p>\n