Please refer to the labled sections of the chart in referencing the writing.
The Yellow Band Region has been a very important region throughout the entire motion into the bear market.
In the last price cycle we see that both the bottom and the top of the channel were important "sentiment consolidation" zones for traders.
It is assumed that these important levels can be used as a guide for the next trade.
The Red Descending Wedge is the process of overtaking sentiment in the market. Fundamentally the price action of BTC and cryptos in general is highly dependent on exchange activity currently. This is of course subject to change pending developments in Crypto as a whole in relation to the real markets of the global economy.
The Blue Cycle Time Phase sketch up on the chart indicates the cyclic nature of the price actions upon BTC as we ride the down. It is observed that at the labeled point that the price action cycle has a period shift to 1/2 the prior cycles. This is assumed to be a result of critical sentiment overtaking the market causing the speculative periods of trading and price action to last a shorter amount of time.
With this observation it is predicted that within the next blue cycle timing period that BTC will experience upward motion to the bottom of the yellow band region. Due to descending it is difficult to predict how the price will behave at that level, but consolidation around those levels should proceed for at least 2 days before a decision is made about price direction.
It is advised that once the bottom yellow band region is reached that profits are taken and if one wishes to re-enter the market you should wait for to confirm action after the consolidation which as said prior should last at least 2 days.
Notes for the Alt coins.
Several alt coins are currently demonstrating highly profitable action over the last week. We all know that it has been bloody but we are seeing that 20% and 30% daily gains are happening for some alts still. Because of this we need to pay careful attention to how the price action of BTC will effect the alts. Watch out for recent gainers getting hit hard with red and the alt market in general slowing down for a few days as BTC sentiment consolidates.