The banks are at it again as several of the largest banks in the U.S. show signs of going extinct. First Republic Bank completely crashed and JP Morgan put in a bid to buy it up. PacWest Bank is next.
Meanwhile, Bitcoin has been strong, riding on the news of global financial and banking collapse. Even when Fed Chair, Jerome Powell, raised rates by 25BPS on May 3, Bitcoin still continued to go up. This makes you wonder whether there is some manipulation going on.
Let’s find out.
Previous Analysis
Bitcoin is not following normal technicals since the price is heavily manufactured and manipulated. However, the 50-day remained healthy support (green line) and the price bounced off of this indicator.
There need to be events (probably another bank crash) to push BTC upwards and help it break $31k. If we manage to break above this resistance, Bitcoin can easily rise to $36k.
It’s no surprise that Bitcoin is running into resistance here at the blue band as it has done five times previously in the past two cycles. This is a just but temporary roadblock. This indicator (the bands) called the last April 2021 top in real-time. The current price of the upper red band sets the next Bitcoin top at $106,000.
The big picture for Bitcoin is that it is still as bullish as ever. Just take a look at the Golden Ratio Multiplier. The golden 350 DMA cross has occurred, and we still have yet to see a return to the green or red lines which happens after every cross. Only patience will get us there!
DISCLAIMER: The work included in this article is based on current events, technical charts, company news releases, and the author’s opinions. It may contain errors, and you shouldn’t make any investment decisions based solely on what you read here.
Vincent Munene is a freelance writer and a great blockchain enthusiast. Blockchain has changed his life in terms of financial freedom and in return, he likes to educate people and keep them up to date on everything blockchain. He is a Biochemist by profession and also loves to play the piano.
