Bitcoin’s Wild Ride: Can It Avoid a 2021-Style Meltdown? 🚀💸

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In a universe not so far away, a crypto strategist—who, for reasons known only to the intergalactic council of traders, goes by the name of Cheds—has decided to unveil a path for Bitcoin to remain in the illustrious realm of bull territory. This is particularly impressive given that bearish momentum is currently surging like a caffeinated space whale. 🐋

During a riveting strategy session that could only be described as “more thrilling than watching paint dry on a blockchain,” Cheds, addressing his 49,800 YouTube subscribers (who are presumably all sitting on the edge of their seats), pointed out that Bitcoin bears have been having a field day ever since BTC decided to take a nosedive below its crucial support level of $90,000. Yes, that’s right, folks—$90,000! A number so high it could make a Martian’s head spin. 🪐

According to our intrepid trader, Bitcoin bulls now find themselves in a rather precarious position, tasked with defending the next line of support to prevent a repeat of the 2021 market collapse. Because, let’s face it, nobody wants to relive that horror show. 🎭

“I still remain in the camp that we have the momentum overhang from losing [$90,000] support, and it’s very likely we’re going to continue down and tag $72,000. And that’s my base case…” he mused, as if contemplating the meaning of life while staring into the abyss of cryptocurrency.

“What we want to see in Bitcoin is for it to hold the SMA (simple moving average) 50… We know that’s important because it played a big role in the 2021 top when the price started to lose that [SMA] 50. We don’t want to see that happen.” Ah, the SMA50, the mystical line that traders worship like it’s the last slice of pizza at a party. 🍕

Flashback to December 2021, when Bitcoin decided to take a leisurely stroll below the SMA50 and promptly lost about 66% of its value, plummeting from $48,000 to $16,000 faster than you can say “Hitchhiker’s Guide to the Galaxy.”

Now, how can Bitcoin avoid a similar fate? Cheds has a plan:

“You can do that with a nice wick… A nice wick below the Bollinger Band and a recovery, like an intraweek recovery would be nice, where we close back up above the SMA50, we tag and test and hold this prior level ($72,000), then we can continue with the trend, the more high time frame trend which is bullish…” In other words, a quick test and recovery, like a V recovery, an overreaction move—something akin to what we saw in August 2024. Because who doesn’t love a good overreaction? 🎢

A wick, for those not in the know, is a thin line that extends above or below a candlestick’s body. In Cheds’ best-case scenario, a lower wick would suggest tremendous buying pressure, or at least a lot of people frantically clicking “buy” like they’re trying to win a game of Whac-A-Mole.

As of this very moment, Bitcoin is trading for $75,795, down over 7% on the day. So, if you’re holding your breath for a miraculous recovery, you might want to exhale—preferably into a paper bag. 😅

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2025-04-07 10:22