Using the daily chart, you can see that whenever the price falls below the 21 EMA (orange line), a massive downtrend forms.These rejections indicate a bearish sign and usually a signal to get out and/or short the market.
After the significant drop a few days ago from $6,700 to $6,200 level, the price failed to close above the 21 EMA 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 EMA. 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!
After the significant drop a few days ago from $6,700 to $6,200 level, the price failed to close above the 21 EMA 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 EMA. 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.