Bitcoin Weekly: Bearish View Remains

In crypto, bitcoin is still struggling below 70k. In the US stock market, the S&P 500 and Nasdaq 100 bounced back last week. However, the breakdown in these major indices has not been invalidated, and the bearish view remains.

Let’s do bitcoin first as usual. After a slight bounce, the week closed at 69k. Meaning it’s still trading below resistance at 72k, within the trend channel that I added to the chart last week.

This means bitcoin is still in a bear market. There are no signs of a bottom being in. Again, this is not the time to take on risk.

Meanwhile, US stock markets bounced stronger last week. However, both the Nasdaq 100 and the Magnificent 7 closed the week below their respective breakdown levels. These levels have now turned into technical resistance, and so far, this bounce just looks like a retracement towards these areas of support-turned-resistance.

We’ll simply have to wait and see here. If the bounce continues this week, these could turn into false breakdowns. But so far, this just looks like a retracement up towards the breakdown levels.

Instead of speculating about what’s next, let’s stick to what we know: the breakdowns happened. So far, this bounce doesn’t change that fact. This means my bearish view remains, and until there are clear signs of a reversal, I will expect any rallies to be sold off.

Stay safe.