Following the last pause in the price of Bitcoin, “Dave the Wave, which is one of the names that the markets watched carefully, pointed to an important technical formation. The analyst, known for predicting the major decline in 2021, argued that the reverse head and shoulder formation on the Bitcoin graph could be the pioneer of a strong rise. The expert pointed out that this structure can trigger a new acceleration in the market both psychologically and technically. According to the analyst, the current price movements indicate the end of a correction process, while the market structure is preparing to break upward. These comments offer important clues for investors who adopt technical analysis -based strategies.
Reverse Shoulder Head Shoulder Formation and Technical Indicators
Dave The Wave said that the opposite head and shoulder formation occurs in daily graphics. This structure often points to the end of the decline trends and the beginning of a new rise. Analyst suggested that the price could rise up to $ 89,000 with the breakage of the neckline of the formation. Stating that the support level is around 77,000 dollars, Dave said that if the price protects this region, the new peaks may be inevitable.
Expert, Bitcoin’in existing levels of a strong buyer of interest, and this situation shows that investors take a position without waiting for lower levels, he said. It was also emphasized that such technical structures were very effective in giving ideas about the general aspect of the market.
Market Psychology and Investor Behavior
According to Dave The Wave, sensitivity throughout the market is still cautious and occasionally prevailing panic. However, he says that this is contrary to the structural order seen in technical graphics. Analyst argues that investors are extremely reacting to small volatility in prices, resulting in the combination of social emotion and ‘monetary error’.
In this process, where Bitcoin was traded at about $ 83,500, the price is steadily recovered. According to Dave, regular movements in the graphics are not a reason for panic, but a natural breath phase before a potential leap. In this context, investors should adopt a more rational perspective.
SUPPORTING THE OPPORTUNITY OF TECHNICAL STRUCTURE
According to the analyst, the long -term rise trend of Bitcoin continues and the existing technical signals show that the correction process ends. Especially structures such as reverse head and shoulder formation have been a harbinger of upward breaks at prices many times in the past. For this reason, investors can evaluate that a suitable floor is formed for a new rally.
However, the analyst emphasizes that although technical indicators are positive, investors should behave cautiously and avoid emotional decisions. Technical analysis is only a tool in investment decisions; For the final decisions, the wider perspective should be considered.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
