Bitcoin : Short term correction?
This is the short term perspective of the bitcoin. I see in the 1 hour time frame, the price has shown us a significant price action as there is some levels below that can be touched in the near future.
Currently, price is testing the support zone which is moving in alignment with the black support trend line. Considering how parabolic bitcoin's price has moved, I have to anticipate the potential of correction phase in the lower time frame. This is the effect of the huge parabolic upside movement.
The levels which I see below as a good support are the $50000 and $48000 which based on the previous price action, they were the point of interest. However, to confirm this downside movement in the lower time frame, the break below current support zone must be clear with the support of significant volume in micro time frame.
Currently, price is testing the support zone which is moving in alignment with the black support trend line. Considering how parabolic bitcoin's price has moved, I have to anticipate the potential of correction phase in the lower time frame. This is the effect of the huge parabolic upside movement.
The levels which I see below as a good support are the $50000 and $48000 which based on the previous price action, they were the point of interest. However, to confirm this downside movement in the lower time frame, the break below current support zone must be clear with the support of significant volume in micro time frame.
Since the yesterday's anticipated drop, we have sit back and watched the market all day long and choose not to jump in the market at huge volatility that is occurring. However, since the price had a bounce at our our anticipated zone of $48000, the bears entered the market again at the $52000 zone with a huge hidden wall I was seeing at Binance market.
This action is of the huge shadow was the action of liquidating the early sellers in the market who panic selling their position. This morning has became another bad day for bitcoin as the price has shown us a decent drop since it tested the $54000. From this perspective, we actually can conclude that the price might shows us another huge drop toward the below untested region. I see the price has a huge possibility to test the $40000 zone in the future as it was the broken resistance which hasn't been tested yes. We are now officially entering the phase 2 of break out strategy which could be very painful for some of you.
In the 12hours time frame we see a potential death cross on the MACD and the RSI has shown us no different. I see a strong rejection toward the 80 level as the boundary for more bullish structure.
I see potential more drop toward the $40000 in the mid term as the bearish momentum remains valid at current level.