However, despite being on BTC and the overall crypto market in the near future, when looking at the chart and indicators, I'm not expecting a full breakout yet. First off, the most obvious indicator is a simple drawing of a connecting the December and January highs to the high we saw yesterday just below 12k, they line up perfectly. Secondly, when looking at the one day chart you can see that the is showing BTC is more overbought than it has been since early December (it hit max values just a few days ago!). The on BTC also showed tightening (signaling a move) just a couple days ago when BTC was trying to break above 11K, and after we failed to break through 12k we're back right at the same level. The has been curling up during this run and the 9 day MA has broken above the center line, but the actual line (difference between 12 and 26 day moving averages) still has a ways to go (breaking above would signal a ).
Given this, I'm expecting BTC to drop as we see some consolidation before a true bull run (I'm all cash BTW ). In my ideal bull scenario, we'll see a drop down to where buyers will come off the sidelines in a zone of 7500-8000 as people recognize the coming bull run and buy at weak support levels since they don't believe that it will . If this zone doesn't hold, then I see BTC coming down more where buyers will then start to come in at the at 6000 and it not to break down through the line of support at 5500 (good chance even that buyers see the at 6000 and it gets bought just before)
All in all, I don't really care about BTC but more how it affects the more fun, volatile alts that will run when it does. I think that both markets will be doing well soon and that we've got a huge year driven by mass adoption ahead of us, we're just not there quite yet.