It looks like BTC is about to complete its bear flag after the 50% drop from previous highs. So far, signs of a bullish price reversal are lacking: price shows lower highs, RSI shows lower highs and no clear divergences, low volume, price initially pulled back to the 0.618 Fibonacci level but did not surpass it. All in all, it does not look too promising for a surge in price.
Confirmation of the bear flag could mean another major price drop. Another 50% price drop brings BTC back to 20k levels, which could be in line with a re-test of the breakout level of previous ATH (would be a healthy move imho). Moreover, the 20k price level corresponds with the lower trendline of the parallel channel BTC is currently in as well as with the 1.381 Fibonacci extension.
Certainly, BTC does whatever it wants but at this moment TA favours a bearish over a bullish outlook.
Comments are welcome.
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DISCLAIMER:
This is neither a trading nor a financial advice.
You are responsible for your own actions so do your own research.
Confirmation of the bear flag could mean another major price drop. Another 50% price drop brings BTC back to 20k levels, which could be in line with a re-test of the breakout level of previous ATH (would be a healthy move imho). Moreover, the 20k price level corresponds with the lower trendline of the parallel channel BTC is currently in as well as with the 1.381 Fibonacci extension.
Certainly, BTC does whatever it wants but at this moment TA favours a bearish over a bullish outlook.
Comments are welcome.
Please like & follow for more TA.
DISCLAIMER:
This is neither a trading nor a financial advice.
You are responsible for your own actions so do your own research.
Comment:
Just a small update: Looks like BTC broke the bear flag. Bearish movement likely ahead.