BTC: In a Tricky position as this is also a distribution pattern
This is a challenging postilion BTC is in as this BTC pattern is also a distribution pattern.
Distribution means there is a chance BTC can also move to 43000 or even 38000 level for a bounce if rejected at 58000 or 60500 .
Why is this ?
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Because the current challenge facing BTC is the high volume bearish candle at 60500.
The red volume spike at the bottom of the chart (labelled B) corresponds to this candle and indicates the bears have invested a lot of liquidity to move the BTC price down at this location. This is a substantial investment and and the bears will do their best to prevent BTC moving above this
candle at 60500 .
Also BTC has dropped below the yellow dashed support line - Hence if BTC is going to make a new ATH we will first need to see BTC move above the yellow dashed line at around the 57000/58000 area and also close above the red bearish candle at the 60500 area.
if BTC fails the above then there is a chance BTC can move to the 43000 or even the 38000 level for a bounce.
Distribution means there is a chance BTC can also move to 43000 or even 38000 level for a bounce if rejected at 58000 or 60500 .
Why is this ?
=================
Because the current challenge facing BTC is the high volume bearish candle at 60500.
The red volume spike at the bottom of the chart (labelled B) corresponds to this candle and indicates the bears have invested a lot of liquidity to move the BTC price down at this location. This is a substantial investment and and the bears will do their best to prevent BTC moving above this
candle at 60500 .
Also BTC has dropped below the yellow dashed support line - Hence if BTC is going to make a new ATH we will first need to see BTC move above the yellow dashed line at around the 57000/58000 area and also close above the red bearish candle at the 60500 area.
if BTC fails the above then there is a chance BTC can move to the 43000 or even the 38000 level for a bounce.
Comment:
Summarizing the above the first order of the day / week is to close above the yellow dashed line at the 57000/58000 area
Comment:
what do I think ? I'd expect BTC to make a move such as the one below and power past the 60500 area - but one step at a time and we need to see what happens at the 57000/58000 area .
