Crypto YouTuber Crypto Michael released a new video predicting another potential Bitcoin crash. He started the video by looking at the leading cryptocurrency’s price section which continues to project a downward trend.
However, Michael highlights a green Chicago PMI number on the charts right before the end of the year. This is the first time since May of 2022 that a green number has entered the price section.
The YouTuber shares that according to Bitcoin’s economic health, everything above 50 is positive while anything beneath 50 indicates negative. Currently, Bitcoin is still under 50 at 44.9%, an increase from last month’s 37.2% suggesting that the recession rumors are still affecting the market.
Moreover, CPI in Spain has been dropping by 1% every day. Zooming into the data from the daily price section, Bitcoin is experiencing a lower higher after failing to establish a higher high due to the crypto exchange FTX’s collapse.
Analyzing the weekly time frame, Michael adds that the weekly pattern is similar to the daily ones. He also says that resistance is clear at $17, 349 and $17, 681 when Bitcoin tries to move upside. Additionally, the chart demonstrates support levels towards the downside at $16,382 and $15,847.
Nevertheless, the 1-hour time frame indicates that Bitcoin is trending down bouncing from $16,600 but harshly rejected at resistance $16,700, finally being rejected at $16,500. Michael shares that Bitcoin is reversing into an entry zone, Michael emphasizes the need for the crypto to break through $16,500.