Taking a longer term perspective on this one, using the weekly candles, reality sets in as i put on my bear glasses.
Historically, BTC saw an almost perfect recovery on the 50MA twice as highlighted in the green boxes, however, printing lower highs, and finally failed its 50MA support in May, resulting in further downward capitulation. For all those bulls out there, long term recovery/reversal might not be so soon as the next foreseeable support lies at the 100MA or 23% fib retracement level.
In the shorter term, BTC might look to retest the 50MA, but i'd be quite sceptical on its success. If i were to make a call, the lowest threshold would be in the 3,500 to 5,000 range. Furthermore, declining volume indicates weak interest in the market. What i'd be looking out for is an over-extension of the RSI, testing the 30 range - this might be a good buy zone.
Happy trading out there :)
Historically, BTC saw an almost perfect recovery on the 50MA twice as highlighted in the green boxes, however, printing lower highs, and finally failed its 50MA support in May, resulting in further downward capitulation. For all those bulls out there, long term recovery/reversal might not be so soon as the next foreseeable support lies at the 100MA or 23% fib retracement level.
In the shorter term, BTC might look to retest the 50MA, but i'd be quite sceptical on its success. If i were to make a call, the lowest threshold would be in the 3,500 to 5,000 range. Furthermore, declining volume indicates weak interest in the market. What i'd be looking out for is an over-extension of the RSI, testing the 30 range - this might be a good buy zone.
Happy trading out there :)