Bitcoin Market Overview

The market reached the possible reversal zone formed by the top border of the ascending price channel and 3500.00 level. We have the previous candle showing that the market has no power for further upward movement. It's a signal that we can get consolidation or a price reversal with further downward movement. If this daily candle is closed on such levels like we have now, it will be a confirmation for short term downward movement. RSI reverses in the overbought zone and confirms price reversal too. We must be ready to see the falling to the strong support zone formed by 3000.00 and 2900.00 levels. This zone will be able to stop the market and reverse it in the upward direction. Probably we'll see price movement in range to the middle line of the price channel. The middle line will be a good starting point for further upward movement. If so, we'll have a new buy opportunity. The variant when the market drops below the support zone, it will be able only with fundamental support. But even if the market will drop to the trend line, we'll still have the bullish market. The trend line will be a good place for opening new long trades. Just don't forget that all reversal signals for buy must be confirmed by bullish candles and RSI reversals.

Comment:

The price broke the price channel and moved higher. A new support level is 3500.00 and if the market drops to this level, we'll have to wait for possible buy signal.