After reaching 7500 we started consolidation in the area shown on the chart.
The euphoria of the Segwit2x hard fork cancellation generated a momenutm above the consolidation area showing that buyers are still in charge of this momentum.
This buy spree has slowed down the expected consolidation downtrend of my previous analysis, but the pattern depicted there still valid until now.
There are signs to be watched in the following days for a clearer understanding of the short/medium term direction of BTC
1.PPO Divergence still in place but has slowed, this shows a potential reversal in place to the upside.
2. A key price range to watch is the 7000/7300 area. A consolidation in this range is quite healthy and will strenght the 7000 support line.
3. Stoch RSI had a recross on its way up, this is a bearish sign.
4. RSI is sloping down and might bounce off the 30/40 area
5. MACD still sloping down showing that there is no upside momentum yet
6. A CCI bounce might show a trend inversion but is not in place yet.
Even in lower timeframes momentum is quite neutral showing healthy signs of consolidation.
Conclusion:
Watch carefully the lower 7000 area for signs of weakness. If we hold this area we might expect more upside before a significant correction takes place.
If we break with a solid downtrend the 7000 mark we might see price retracing back to at least the 5000 area.
Upsloping trendline is holding the price at the moment.
Trade safe.
The euphoria of the Segwit2x hard fork cancellation generated a momenutm above the consolidation area showing that buyers are still in charge of this momentum.
This buy spree has slowed down the expected consolidation downtrend of my previous analysis, but the pattern depicted there still valid until now.
There are signs to be watched in the following days for a clearer understanding of the short/medium term direction of BTC
1.PPO Divergence still in place but has slowed, this shows a potential reversal in place to the upside.
2. A key price range to watch is the 7000/7300 area. A consolidation in this range is quite healthy and will strenght the 7000 support line.
3. Stoch RSI had a recross on its way up, this is a bearish sign.
4. RSI is sloping down and might bounce off the 30/40 area
5. MACD still sloping down showing that there is no upside momentum yet
6. A CCI bounce might show a trend inversion but is not in place yet.
Even in lower timeframes momentum is quite neutral showing healthy signs of consolidation.
Conclusion:
Watch carefully the lower 7000 area for signs of weakness. If we hold this area we might expect more upside before a significant correction takes place.
If we break with a solid downtrend the 7000 mark we might see price retracing back to at least the 5000 area.
Upsloping trendline is holding the price at the moment.
Trade safe.
Comment:
Previous analysis below.
Comment:
Major Trendline broke. Bearish now. Confirmation on the close of this 6H candle.
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