After the significant drop a few days ago from $6,700 to $6,200 level, the price failed to close above the 21 since then.
We also have been forming lower-highs and lower-lows since the all-time high last December 2017.
With that, I expect the price to fall further until it breaks and close above the 21 . The longer we stay below the said moving average, the harder it is to break out of it.
It is most likely that we will re-test the $6,000- $5,750 level in the coming days.if we fall below $5,750, the next major support would be $5,000-$4,750.
These are just my opinion and not financial advice.
Good luck and happy trading!
Lower-highs and Lower-lows since December 2017.
It seems that Bitcoin is now recovering after the bulls pushed the price yesterday from $6,200 to $6,600 level as of this writing.
Are we now in an uptrend? Bullish? If the price close above the 21 EMA (exponential moving average), there's a high chance that we will continue to go up and test the next resistance, which is $6,850.
Assuming we break $6,850 with high volume, the next target would be $7,800 being one of the major resistance (previous support).
However, if we fail to cross above $6,850 again, we might fall below $5,750 (lowest) because the more times we get rejected on a certain price level, the harder it will be to break it as the bulls will get exhausted and it will be easier for the bears to short the market.
Not a financial advice :) Trade at your own risk.