Crypto Market Outlook: Bitcoin Hit $ 42,000 On Monday Morning. Bearish Movement Will Continue?

Author by: Rizqie Atsir Fadhlullah, Business Development of Tokenomy

The crypto asset market, especially Bitcoin, has been bearish for the past week. Elon Musk’s statement on May 13 stating that Tesla was suspending the sale of its vehicles using Bitcoin triggered sell-off actions from traders last weekend.

  • Bitcoin

In last week’s analysis, we can clearly see that Bitcoin was at the trend transition area. Where a long-term bearish trend is very likely to occur because of the reversal structure that has currently been formed. Last week, Bitcoin failed to break the 61.8% Fibonacci level so as a result, the bullish movement that formed from $47,000 – $59,400 became a secondary trend.

Currently, Bitcoin is trading around $42,000 – $47,000 area which is also a support price level. The price is expected to move up to form a secondary trend at the price level of $55,000 – $56,000. After which, Bitcoin is projected to continue the primary trend and drop to the main target price of $29,000 – $27,000. Perhaps for “Crypto Fans” the $29,000 – $27,000 area is impossible to hit. However, this price is in fact very possible because of the bearish structure that has formed. Technically, if the $41,000 support breaks, the next support will be $29,000. On the other hand, to maintain the bullish run, Bitcoin needs to be able to achieve the $55,000 – $56,000 break through before it can achieve a higher price at ​​$65,000.

  • Ethereum

Similar to Bitcoin, Ethereum’s price was also corrected last week. However, there is no need to worry, because currently the bearish movement in Ethereum is only a correction, and we can take advantage of these conditions. As per last week’s analysis, $2,800 – $2,700 is a demand  zone and is also the best price range to look for a Buy set up with a main sell target price of $4,500 – $5,000. However, we need to be careful and always look out for reversal confirmation in this price range. If the market continues to be bearish, Ethereum will be targeting the $1,900.

  • Doge

Doge is currently playing in the support area. As per last week’s analysis, the $0.40 area was a strong support and managed to cause the price to reject. At the time this analysis was written, Doge was still moving near the major support and still hasn’t shown any bearish reversal structure. Doge is still projected to be bullish and is aiming for $0.70 – $0.75 price range. However, we still need to be cautious. If Doge goes below $0.35, then the next target is $0.26 – $0.23.

  • Hedera Hashgraph (HBAR)

HBAR’s price is still moving sideways in the range $0.40 – $0.22 and forming a pennant. It makes the next movement of HBAR depending on which support or resistance is going to be broken. If the resistance breaks, HBAR can continue its bullish movement towards the $0.60 – $0.62 area. However, if the support is broken, the target for HBAR will be dropped to $0.16 – $0.14. Under these conditions, we can also do short-term trades such as Buy/Long positions at support and Sell/Short at resistance. This is because the sideways range is wide enough to allow short-term trades.

  • AAVE

AAVE is currently moving along the resistance area and has the potential to continue the bullish movement. This can be seen from the bullish structure formed on the H1 time frame (watch the trend line). If AAVE can overcome its major resistance area which is in the $600 – $630 range, the next target resistance will be $740 – $750. On the other hand, if AAVE fails to overcome the major resistance and drops below the trendline at $380, then the next support will be at $300 – $275.

You might also like

%d bloggers like this: