Another point of view

A different point of view. BTCUSD on the weekly chart.

As you can see, BTC has had quite a run up since the previous cycle low at $3,215. The RSI (middle panel) topped out at 94.81% (orange arrow) on the weekly when price peaked at 42k. That would tie in with the wave 3 top in the previous chart – convergence in our analysis. The RSI never reached this level throughout the bull run of the previous cycle. It shows us the immensity of the momentum behind this rally.

But since then, the RSI has been making lower highs (red arrow), while the price had been making higher highs (green arrow). Classic bearish divergence. This pattern usually has a bearish outcome. Again, confluence in our analysis.

Looking at the MACD (bottom panel), we can again see the immensity of the movement we have witnessed, dwarfing the previous bull cycle. But nothing goes up forever. We can see the MACD (blue graph) topping out (yellow arrow) and coming closer to the signal (orange graph), as the green histogram bars become light and smaller (purple arrow). This would suggest a coming pullback in price. More confluence.

But, of course, BTC can also just do what it wants. Should you sell and buy back cheaper? Assess your risk and decide. Keep in mind, you may never get the chance to buy back cheaper.

PS. Not financial advice.