Weekly Timeframe — Strong Bearish Structure
The weekly chart clearly shows a long-term bearish market structure.
Major rejection from the highest level
Price formed a major top around the $700 area, followed by a strong decline. This indicates that the previous high acted as a significant distribution/rejection zone.
Lower Highs are clearly forming
After the major top, every major recovery has failed to create a new higher high. Instead, price has produced lower highs, confirming that sellers remain in control.
Major support has been broken
The important $270–$275 support zone was previously respected, but price has now moved below this level. A breakdown of major weekly support is a strong bearish signal.
Bearish market structure remains intact
The sequence is essentially:
Higher High → Lower High → Lower High → Breakdown → Lower Low
This is consistent with a long-term downtrend, not a confirmed reversal.
Current upward move can be a retracement
The bounce from roughly $190–$200 back toward $265–$275 should not automatically be interpreted as bullish reversal. It can be viewed as a weekly retracement/retest of the broken $270–$275 support.
$270–$275 becomes the key resistance zone
If price gets rejected around this area, it would strengthen the bearish thesis significantly. The ideal bearish confirmation would be a weekly rejection candle followed by a lower low.
Bearish Scenario
If the $270–$275 zone continues to reject price:
$270–275 → rejection → $200 → $190 → potentially $100
The $190 area is particularly important because it is marked as another major level on the chart.
The weekly chart clearly shows a long-term bearish market structure.
Major rejection from the highest level
Price formed a major top around the $700 area, followed by a strong decline. This indicates that the previous high acted as a significant distribution/rejection zone.
Lower Highs are clearly forming
After the major top, every major recovery has failed to create a new higher high. Instead, price has produced lower highs, confirming that sellers remain in control.
Major support has been broken
The important $270–$275 support zone was previously respected, but price has now moved below this level. A breakdown of major weekly support is a strong bearish signal.
Bearish market structure remains intact
The sequence is essentially:
Higher High → Lower High → Lower High → Breakdown → Lower Low
This is consistent with a long-term downtrend, not a confirmed reversal.
Current upward move can be a retracement
The bounce from roughly $190–$200 back toward $265–$275 should not automatically be interpreted as bullish reversal. It can be viewed as a weekly retracement/retest of the broken $270–$275 support.
$270–$275 becomes the key resistance zone
If price gets rejected around this area, it would strengthen the bearish thesis significantly. The ideal bearish confirmation would be a weekly rejection candle followed by a lower low.
Bearish Scenario
If the $270–$275 zone continues to reject price:
$270–275 → rejection → $200 → $190 → potentially $100
The $190 area is particularly important because it is marked as another major level on the chart.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.