Hey firned hope you are well and welcome to the new update on Bitcoin. After breaking down the up channel the Bitcoin is still moving sideways and little bit down therefore in today’s article we will try to understand what the price action can do next.
The BAT pattern is still in play:
1st of all I want to show you this BAT pattern that the priceline of the leading cryptcurrency has formed on the daily chart. And the price in just hit the spike within the potential reversal zone and completed the final leg of bullish BAT. Now price action is moved up again and at this time it is moving sideways. I am expecting it will again enter in the PRZ level, therefore I suggest to set this potential reversal zone as stop loss. Because if the potential reversal zone will be broken down then price action can move more down for the formation of Crab pattern.
Retesting of support as resistance likely to be failed:
now if we watch different support and resistance levels on daily chart. Then as in my previous post I mentioned that after breaking down $9500 support the price action was retesting the previous resistance as a support. Now this re-testing is likely to be failed and priceline of BTC moving slightly down and it can move to the next support at $8800. And if this $8800 will be broken down then next support will be ready $200 is also very significance afford a because it has been working sometimes a support is at $8200. Now if we see the moon phases indicator then recent dark moon was appeared near $8800 support. This is giving indication that the price action can move down to this level. And so far the price action has spiked to $8900 that was very close to this dark moon. The new moon appears after a complete synodic cycle that is 29.5 days long. And this dark moon was appeared on 3rd Jun 2020 therefore the life of this recent dark moon is 19 days. It means there are almost 10 days left for the appearance of new moon. So in the meanwhile we can use some other indicators to predict the upcoming trend.
Down channel on short term chart:
On the hourly chart the price action has formed a down channel. At this time the resistance of the channel is at $9350 and the support of the channel is at $9150. It is very important for the priceline to break out this channel as soon as possible otherwise if the price action will be continuously moving down within this down channel then the resistance will be moved more down. For example if we use the pitchfork tool to watch the long projection of the price action then on the chart in can be clearly seen on 28th of June the resistance will be moved down to $9,000.
Last hope the pennant support:
On daily chart the price action of Bitcoin has formed a pennant and at this time the price action is at the support of the pennant. I've also placed the exponential moving averages with the time period of 10 and 21. The price action is moving between these exponential moving averages and the support. If the price action will not break down this support of pennant then it can move up to resistance of pennant that is at $10,000 the movement.
Conclusion:
At this time the bullish BAT pattern and pennant both have very important role. And if we want to see the bullish reversal by the price action of Bitcoin then we should observe these two patterns very closely.
The BAT pattern is still in play:
1st of all I want to show you this BAT pattern that the priceline of the leading cryptcurrency has formed on the daily chart. And the price in just hit the spike within the potential reversal zone and completed the final leg of bullish BAT. Now price action is moved up again and at this time it is moving sideways. I am expecting it will again enter in the PRZ level, therefore I suggest to set this potential reversal zone as stop loss. Because if the potential reversal zone will be broken down then price action can move more down for the formation of Crab pattern.
Retesting of support as resistance likely to be failed:
now if we watch different support and resistance levels on daily chart. Then as in my previous post I mentioned that after breaking down $9500 support the price action was retesting the previous resistance as a support. Now this re-testing is likely to be failed and priceline of BTC moving slightly down and it can move to the next support at $8800. And if this $8800 will be broken down then next support will be ready $200 is also very significance afford a because it has been working sometimes a support is at $8200. Now if we see the moon phases indicator then recent dark moon was appeared near $8800 support. This is giving indication that the price action can move down to this level. And so far the price action has spiked to $8900 that was very close to this dark moon. The new moon appears after a complete synodic cycle that is 29.5 days long. And this dark moon was appeared on 3rd Jun 2020 therefore the life of this recent dark moon is 19 days. It means there are almost 10 days left for the appearance of new moon. So in the meanwhile we can use some other indicators to predict the upcoming trend.
Down channel on short term chart:
On the hourly chart the price action has formed a down channel. At this time the resistance of the channel is at $9350 and the support of the channel is at $9150. It is very important for the priceline to break out this channel as soon as possible otherwise if the price action will be continuously moving down within this down channel then the resistance will be moved more down. For example if we use the pitchfork tool to watch the long projection of the price action then on the chart in can be clearly seen on 28th of June the resistance will be moved down to $9,000.
Last hope the pennant support:
On daily chart the price action of Bitcoin has formed a pennant and at this time the price action is at the support of the pennant. I've also placed the exponential moving averages with the time period of 10 and 21. The price action is moving between these exponential moving averages and the support. If the price action will not break down this support of pennant then it can move up to resistance of pennant that is at $10,000 the movement.
Conclusion:
At this time the bullish BAT pattern and pennant both have very important role. And if we want to see the bullish reversal by the price action of Bitcoin then we should observe these two patterns very closely.
