I have a few changes to my earlier chart. The above is the new one and the old one is this earlier post. The RSI is now within a symmetrical triangle. The 30k line is now also the lower bound of the bearish flag.
50 DMA should act as significant resistance first, as it had acted as support numerous times during the last year. 50 DMA acted as support in Dec'20, Feb'21, and twice in Mar'21. It then became resistance that BTC failed to cross a few days before and after May'21.
The above extract is from my post from 2 days ago. 50 DMA did what it was meant to do. Bitcoin started trading downwards from very close to 50 DMA level and has been putting red candles on the chart for 2 days. Looks like it is all set to test 30k again. No one can say whether BTC will head to $20k but the probability of such an event increases with every new test of the $30k level. The reason why $30k has been such strong support is more evident now on the weekly chart -
50 WMA is currently at $31k and was at $30k for the last month. Unless we are in a bear market, at least the weekly chart assures us that these new set of red candles should turn green around $31k.
The 4h chart confirms my view of BTC at $31k before one needs to assess the charts again.
The Head & Shoulder pattern was confirmed and indicated a reversal in trend but bitcoin may meet the baseline at $31k to retest it. It may then move up again but will face resistance at 50 DMA.
For now, I predict Bitcoin goes to $31k, bounces back to move up, and then will face resistance between $37k - $40k. Let's see how it plays out.