Pro Charts: Crypto

Bitcoin Hammers Support, Probabilities Favor A Break

Updated: Apr 22, 2024 | Published: Apr 13, 2024
Verified Investing
By Verified Investing
Bitcoin Hammers Support, Probabilities Favor A Break

Bitcoin flushed on Friday, retesting a major support around $66,500. While the support level is holding, the concern has to be the risk off environment that may be starting in risk assets.

It is no coincidence that the Bitcoin bull market started in 2022 at the same time as the stock market bull market. This tells investors, should the stock market start to decline, Bitcoin will likely follow.

In addition, Bitcoin has hammered on this key upsloping trend line four times. Probabilities tell us that breaks usually occur on the fifth or sixth hit. This means if it hits again, investors need to start expecting a break down.

Should Bitcoin break, the downside would be to major support at $52,000-$49,000.