Just brief update on BTC

Morning everybody,

It is a silence on the market as all eyes stand on Fed statement and its impact on FX and other market. As a result BTC mostly stands in the range of sell-off that has happened last week.

Previously we've mentioned that BTC shows bearish action as it has broken normal market behavior that should follow on a background of daily morning star pattern but has not happened.
Although price indeed has dropped - recent lows still stand valid. Now we do not have some clear and bright patterns that could shows us the direction. In such circumstances possible solution is to keep an eye on important levels.

Thus, first one is daily lows, of course. Once they will be broken, downside action continues. But another important level stands on 4H chart. It splits two trading zones and market now is challenging it. If BTC fails to break it up, chances on downside breakout increases. Conversely upside breakout of this level suggests upside AB=CD action somewhere to 11.3K area. Potentially we could get large "222" Sell pattern.

While we do not have clarity, it is better to sit on the hands.