The price is now near the first local resistance zone that is really important and we have two possible scenarios here:
A. Retest breakout and more fall: the white trend-line was strong support for bitcoin if it will be break anytime soon, it will act as resistance.
On the weekly timeframe the price has made a correction after its 6 consecutive bullish weeks, this correction is in the form of a bullish flag on the daily timeframe . Also on the daily timeframe what we can see is the market broke below the head and shoulders formation with a bearish impulse to the downside which has been followed up by a correction to retest previous support as new resistance in confluence with the 0.618 fibonacci. The market is already now showing rejection and i do expect to see the continuation to the downside and price to come down to the lower descending trendline support of the bullish flag which is also the 0.618 fib taken from the weekly impulse low to high giving us a very strong confluence of support at around 38k. So my short term bias is bearish i am expecting one final leg down to around the 38k price which will trap bears and induce sellers into the market, this is where i will close our shorts and start looking for LONG entries. My target is 75k (the -0.272 fib taken from the low to high of the monthly correction)
DYOR Before taking trade, as I'm not responsible for your loss.
Happy Trading :)
Good Luck!
If you like my idea, please support:
Binance Smart Chain ( BSC ): 0x69Ea86D0f6B762fC36A322b0C833D2bd04534b3d
A. Retest breakout and more fall: the white trend-line was strong support for bitcoin if it will be break anytime soon, it will act as resistance.
On the weekly timeframe the price has made a correction after its 6 consecutive bullish weeks, this correction is in the form of a bullish flag on the daily timeframe . Also on the daily timeframe what we can see is the market broke below the head and shoulders formation with a bearish impulse to the downside which has been followed up by a correction to retest previous support as new resistance in confluence with the 0.618 fibonacci. The market is already now showing rejection and i do expect to see the continuation to the downside and price to come down to the lower descending trendline support of the bullish flag which is also the 0.618 fib taken from the weekly impulse low to high giving us a very strong confluence of support at around 38k. So my short term bias is bearish i am expecting one final leg down to around the 38k price which will trap bears and induce sellers into the market, this is where i will close our shorts and start looking for LONG entries. My target is 75k (the -0.272 fib taken from the low to high of the monthly correction)
DYOR Before taking trade, as I'm not responsible for your loss.
Happy Trading :)
Good Luck!
If you like my idea, please support:
Binance Smart Chain ( BSC ): 0x69Ea86D0f6B762fC36A322b0C833D2bd04534b3d
