We saw a strong jump in BTCUSD Shorts this morning while Longs continue to grow. This isn't an ideal situation for Shorts. Based on how quickly they jumped and where price is currently located, they are likely over-leveraged retail Shorts which means any pop up in price will liquidate them pretty quickly causing many traders who aren't liquidated to have to cover their own Shorts as a result. This doesn't mean such a thing will happen immediately, just that the risk to reward ratio is pretty poor at this point. Too much risk opening a fresh short for the reward that one may receive by being correct.
Price continues to follow the April pattern at this time. As we can see, the daily candle is sitting right on the blue line. Price is currently moving within a descending within a . The expectation, based on the pattern, is a breach of the wedge's resistance. There is the possibility we could see a sudden drop in price leading to capitulation and subsequent large, fast rebound before the break of the resistance comes to fruition. In that case, many traders will likely be stopped out and/or liquidated on margin due to an inability to log into the Web-based interface of their exchange during that strong price action and/or failure of the exchange to execute their take profit. is nearing a breach of its own resistance, as is OBV which has bounced off support its that dates back to October 2017.
On the shorter term charts, price may be building another diamond pattern. There is strong throughout price movement within the pattern, which is important. As always, I am watching for a breach of the blue lines in either direction with the resultant resistance and support lines providing likely initial targets. is attempting to breach resistance on the 1h and 4h charts. Fib congruence levels (where fib levels from multiple fib pulls come congregate) are important indications of and should be monitored as well.