crypto_ro

BTCUSD: Bearish Signs - Wave 1 almost complete

BITFINEX:BTCUSD   Bitcoin
The count was wrong in the previous idea.

Leading up to finishing wave 5, notice 2 things:
  • Rising Wedge
  • RSI Bearish Divergence

1. Rising Wedge
While the price is moving higher, the trading range is being limited. This is a bearish sign.
We have had 2 attempts at breaking upwards out of the wedge, and 2 attempts at going lower.
Once we confirm the 3rd attempt at a breakout, we should start to see the upward trend reverse.

2. Bearish Divergence on the RSI
Notice the 2 peaks highlighted in yellow - on both the chart and the RSI.
The price of the 2nd peak, is higher than the 1st, but the RSI doesn't show an uptrend (between the 2 peaks).

Correction Time?
Expecting it to drop off to around $9,000 level first, before maybe hitting $8,500. I would be surprised to see BTC break upwards out of this.
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