World markets are dropping like it’s the end of the world. A lot of people are panicking and have no idea what’s going on. Inflation is high, yields are high, commodities are down, and tech stocks are facing huge sell-offs.

Most of the sell-off is coming from bad macro conditions, which are obviously hard to predict, so we’re only left with one option: the charts.

So let’s break down Bitcoin on each timeframe, see what’s going on, and what we can expect.

BTC (Daily)

$74,900 is the key low. It’s the low price made when it broke into the higher high.

If price breaks under it, there is no major support below. It was a clean move up from the $65Ks, so there’s nothing in between.

A break under it would be bad for the short term.

In that scenario, what I'd want to see is price reclaiming this zone.

Similar to what we saw after Bitcoin broke below the $82,800 level. A break below an important level doesn't necessarily mean the move is over, but the reclaim is something you want to see.

For now, as long as price is above this, The daily looks fine despite all that sell pressure coming from macro.

BTC (Weekly)

Things change when you start looking at the higher timeframes.

Let me explain how.

On the weekly chart, we had the first leg up from the low $60Ks to $87,000. This was the first move that broke the previous lower high.

Now, if you look at it from this perspective, we only have one major leg up so far, with a key low and a key high. And now price is pulling back somewhere in between.

When you're looking at higher timeframes, you have to give the market some room.

Assuming this is the first leg of the next bull run, you start looking for potential zones where BTC could form a higher low.

Will it be around the current price, or somewhere a little lower, in the low $70Ks or even below $70K? That's just a guess at this point.

But the main point is that when you look at the higher timeframe and see Bitcoin making its first leg up, followed by a pullback, you start looking for potential higher-low formations, assuming the low is already in.

When it comes to having a long-term vision, you need to focus on higher-timeframe trends.

We've broken the previous lower high on the higher timeframe and made a higher high. So now, you can start looking at the possibility of price forming a higher low.

This is exactly what we saw in 2023

Bitcoin made its first leg up, followed by a roughly 20% pullback before continuing higher.

I'm not saying price has to repeat the same thing, but it's a good reference to understand that these pullbacks aren't unusual.

BTC (Monthly)

My thoughts on the monthly chart are pretty much the same as the weekly.

We had the first leg up, and now price is pulling back.

The last time we saw a similar structure in 2023, Bitcoin had a roughly 20% pullback after its first major move up.

Right now, we're looking at approximately 14%.

I'm only bringing up the previous price action as a reference to show that this isn't something unusual.

Pullbacks after a strong move up are completely normal.

The market doesn't move in a straight line, especially when you're looking at a bigger timeframe.

Your Perspective Decides Everything

Once you’ve done all your analysis, like I just did by breaking down the monthly, weekly and daily charts, it all comes down to your perspective and how you want to position yourself in the market.

Personally, I’m assuming the low is already in and price is just going through a normal pullback. So I’m positioning myself for the next few months.

I know it’s painful and not easy, but when you have a bigger perspective, you have to be willing to tolerate these moves.

I’ve also made 3-4 posts explaining that the market won’t move straight up. There will be periods of pullbacks and consolidation, and you have to be prepared for that when your perspective is long-term.

At the end of the day, it’s up to you to decide your perspective. Every timeframe shows you a different picture, and your approach will change depending on which one you’re focusing on.

You just need to decide what your perspective is and stick to it.!