In the eight days following Tesla’s May 12 policy change, Bitcoin plummeted just over 47% before finding a bottom near $30,066.
The more times a stock, or a crypto, bangs its head against a resistance level, the more likely it is to bust through it.
Total daily volume in the crypto has also been dropping off, which indicates a move is about to take place.
Bulls want to see big bullish volume come in and pop Bitcoin up over the upper descending trendline of the channel and for continuation to push it up over resistance at $39,290.
Bears want to see Bitcoin continue trading down in the channel until it loses support at $34,849 and the support of the eight-day EMA.
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