Wanted to share my perspective on the recent sell-ff and areas to watch for support bounces to the downside. No one can predict exactly where Bitcoin
is going to go and if you hear someone say they do run far far away. I am simply putting together potential levels based on TA other traders are going to be watching as well which can create a "self-fulfilling" prophecy. More than likely I feel Bitcoin
will re-test the 6000 lows that were made in early February. Simply put Bitcoin
will either put in a patented double-bottom pattern (a common scenario that happens in traditional markets) OR if the 6k lows are taking out the 5k test will find massive support. On this daily chart
, the 78.6% fibonacci retracement
just so happens to sit right on the 5k level which was a key resistance break/benchmark in 2017. Regardless if that ends up being the "absolute bottom" there will most likely be a nice swing trade opportunity especially if the flush out happens on high volume/velocity.