Hello and welcome to my view/chart on BTC , lets just jump right into it. As you can see from the LOG chart Bitcoin got rejected again at the resistance line that has been forming for a long time. If you mix that with the FUD that came in recently you have the perfect sell off that happened to BTC this week. But after a rainy storm the sun always shines after it.
From the chart you can clearly read that Bitcoin daily wick has bounced from this long term support line of the overall trend and is now being supported at the same time with 200 MA/EMA, 0.5 fib level and previous resistance zones that BTC tested 2 times. is also indicating on the 4H chart that BTC clearly has sold off too much and that we need a bounce or consolidation period. What we can take from this is that BTC may have actually found the bottom from this major sell off.
If you take a step back you will also notice that what has been forming is a clear asymmetrical triangle that could break upwards or downwards. I personally think that If we break downwards the sell off could be absolutely enormous and that we could be testing 6k level but if we break upwards we may enter a huge cycle for BTC .
RECAP AND WHY THIS COULD BE A GOOD TIME TO POSSIBLY ENTER AGAIN:
- Bounce from long term LOG support line/trend
- Price supported by 0.5 FIB level
- Price also supported by 200 MA/EMA
- Price is indicating oversold levels on 4H
- Price seems to be closing at psychological level of 9000$
- Bounce on 1H
- FUD cooled off
Wait for the actual daily candle close first so we can confirm our theory on the current situation. If we break downwards from the overall LOG trend we could be seeing Bitcoin testing 6k area again or possibly drop lower.
Remember that I am not a financial advisor and that these charts are being made because I want to share and improve my TA knowledge. ALWAYS do your own research if you do decide to listen to my rambling on this website!