Bitcoin bouncing off support at $47800 - currently at crossroads

Bitcoin is currently bouncing off support after yesterday's 3% downtrend and is about 1% up for the day. Red days are healthy and not an invalidation of our overall bullish movement. As you can see, we are still within a valid bullish channel and on the lower end where we have moved up now 3 times in the past month.

The next resistance level if Bitcoin resumes moving up and does not fall out of the channel would be prior resistance at $50,500. The channel is invalidated around $46,000 and we would then be looking for bounces and holding the bull market support band around $43,000.

I am currently neutral and holding, looking for further validation of an upward trend. A September shakeout will come, resulting in a fall to around $43,000 before wave 2 leading into a parabolic rally.

Comment:

Bitcoin now diving below support, next stops would be be around $46.5k for support and then the bull market support band at $43k. A re-test of the bull market support band would be extremely bullish and we could establish long positions from there.

This is just a temporary dip in an overall bull move. The correction might be here sooner than I expected but still not a big deal in the overall scheme of things - rather a nice cooling-off period for a red hot market. There is still an expectation of new ATHs within the end of October.