Following on from my last bitcoin analysis which you can see below this chart. We are on the verge of breaking to the downside and this has been building up for weeks where the market has been in an upward correction which is usually a sign of a downward move and usually the bigger the correction the bigger the fall. From the chart, we can see a couple other similar corrections which led to a downward move so that's what I am expecting in the coming days. We can also see that the market has come into a trendline resistance which the market has clearly respected.
The market is also currently at the 61.8 Fibonacci retracement of the recent downward impulse leg and this region also happens to be a very important structure level (7k), so we can get a convincing break of this level then expect a sharp move to the downside.
Check out my last 3 updates on bitcoin to see why understanding structure is important when it comes to technical analysis.
As always, any opposing comments, views, feedbacks are welcomed!