On the 15th December 2018, BTC/USD has reached the low, while hitting $3200 level. This is 327.2% Fibonacci retracement applied to the corrective wave up after the triangle pattern breakout.
The big question is whether BTC has reached the very bottom or if price will continue to lower. The support has been rejected cleanly suggesting a correctional trend up. But it is far too early to say that Bitcoin has reached the very bottom as there was no confirmed established uptrend up until this point.
It could be reasonable to expect the corrective move upwards where price could hit one of the Fibonacci retracement levels. First resistance is at 61.8%, which is $5245. Second resistance is at 88.6% Fibs, that is $6125 level. These are the price levels where BTC might be heading, but it is worth mentioning the resistance formed at $4300. Perhaps it is worth to wait for the break above that level before considering buying BTC.
Looking on the downtrend perspective, the support are has been formed between $3465 - $3660 which might be tested. Although daily break and close below might signal on another selloff. In that case 3k psychological area might be the first downside target.
Can you explain more how you formed this Fibonacci retracement?
CryptalDash
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@omarzd, Usually after the break above or below the support or resistance there is first corrective wave. I use approach where Fibs are applied to that wave to see trend targets
TechNerdOmar
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@CryptalDash, OK, but when I want to drag a Fib retracement from the point of broken support, that is from around 6100 all the way down to 3200, it doesn't turn out like yours. That's why I'm asking how to draw it or configure it such that I get the same result. Thanks.