Bitcoin trading inside descending triangle formation, coming out of area of weekly exhaustion! From fib low to high inside the triangle we can see confluence with H4 time frame S&R levels and major Fib retracement levels. The 50% retracement level inside the formation is likely the best area for a nice #short entry, that is if BTC can continue to fight to stay above the 10k mark for a bit longer. This 10k area has been tested a lot over the past few weeks and given the pattern formation and the weekly exhaustion, the outlook is bearish. Shown here is the likely path for Bitcoin to follow on its bearish trajectory with respect to necessary re-tests as resistance along the way. If we look at the Daily chart for Bitcoin, we notice we are currently trading below the 50EMA and if this pattern is validated the next target would the 200MA which currently sits around 7500. Fib projection targets have a way of always getting test, so i have marked my target range between the 161.8% retracement level and 7500 Weekly S&R level where the 200MA is currently waiting for us. I like to scalp these channels all the way down to my major target, hence all the different levels and areas. Happy Trading! #BTC #Bitcoin
*** A side note: Noticing how Bitcoin dominance is still at or near ATH levels, i also expect that to play a factor in the upcoming cool down for Bitcoin. I'm not sure the exact numbers but i know at this time investor sentiment for Bitcoin is in the extreme fear range. **Also CNBC crypto trading series is encouraging people to start buying again.....usually a very good contrarian indicator.
*** A side note: Noticing how Bitcoin dominance is still at or near ATH levels, i also expect that to play a factor in the upcoming cool down for Bitcoin. I'm not sure the exact numbers but i know at this time investor sentiment for Bitcoin is in the extreme fear range. **Also CNBC crypto trading series is encouraging people to start buying again.....usually a very good contrarian indicator.