Quick Update on Bitcoin!
What a move for BTC from its critical (noted on previous chart)! Price is now trading around major resistance; will a correction be more probable from here or a continuation of the parabolic trend?
Points to consider
- Trend still parabolic
- Testing major structural resistance
- Local resistance at .236 Fibonacci level
- Stochastics topping out
- in overbought territory
- EMA’s yet to meet price
BTC has had an insane parabolic rise with extreme bull taking out key resistance levels, negating the overall market structure…
Price is now testing structural resistance, now potential support if bulls are able to hold this level successfully; this will more likely then confirm a continuation. Local resistance is in confluence with the .236 Fibonacci level, sellers are looking very strong above that area due to the long wicks.
The Stochastics is currently topping out, no real clear direction as it can stay in upper region for an extended period of time. is quite overbought; a correction will help cool it off.
EMA’s are yet to meet price, it must hold price as support to confirm a continuation of the trend, however it does have a long distance to meet price. We also have an extreme climax bar, which signals that, a temporary top maybe in for bitcoin…
Overall, IMO , a correction may be more probable, but it’s too early to tell, we need price to mature a little more. Consolidation in the orange box will allow the indicators to cool off and confirm support of a key level. However if this level breaks, then we are more to test the .6181 Fibonacci level.
What are your thoughts?
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It does not matter how slowly you go as long as you do not stop.”Confucius