Short term : Uncertain condition, possible relief rally
Just see the bitcoin price action from the broad perspective which we see a lot of uncertainty on current price action with yesterday's YOYO price action.
With the daily candlestick closes, we see huge upside wick to the upside on yesterday's candlestick close which it is now acting as a gap the price need to close. However, there area also a lot of confluence reasons on the downside level where we see 2 crossing point of the respected trend lines near crucial support zone at $16000 and $14500 level.
Just by looking at current structure, we can see possibility for the price to another drive to the upside which the purpose is to close the wick occurred on yesterday's candlestick before another drive lower.
On the way to drive lower, at least we have to see a possible upside relief rally because of the condition at current structure is still on extremely oversold.
Still this is a choppy movement which it's not the best time to get in to any position. We still have to wait as of now.
As long as the price doesn't break below $18000, we still believe on the previous target we mapped out at $24000 level. But if the price breaks below it, you can refer to another 2 levels of $16000 and $14500 level as key support.
Right now it's still 50/50, We'll have another update if the price closes above the wick region.
Another addition, the price is still having negative correlation with DXY index which we have also been anticipated on previous analysis. And with recent DXY spike, we may also see major correction in it. With the major correction on DXY, the Bitcoin's price will eventually spikes even higher and seek for action of liquidating the short sellers.
High possibility of relief rally occurs but not enough confirmation yet.
With the daily candlestick closes, we see huge upside wick to the upside on yesterday's candlestick close which it is now acting as a gap the price need to close. However, there area also a lot of confluence reasons on the downside level where we see 2 crossing point of the respected trend lines near crucial support zone at $16000 and $14500 level.
Just by looking at current structure, we can see possibility for the price to another drive to the upside which the purpose is to close the wick occurred on yesterday's candlestick before another drive lower.
On the way to drive lower, at least we have to see a possible upside relief rally because of the condition at current structure is still on extremely oversold.
Still this is a choppy movement which it's not the best time to get in to any position. We still have to wait as of now.
As long as the price doesn't break below $18000, we still believe on the previous target we mapped out at $24000 level. But if the price breaks below it, you can refer to another 2 levels of $16000 and $14500 level as key support.
Right now it's still 50/50, We'll have another update if the price closes above the wick region.
Another addition, the price is still having negative correlation with DXY index which we have also been anticipated on previous analysis. And with recent DXY spike, we may also see major correction in it. With the major correction on DXY, the Bitcoin's price will eventually spikes even higher and seek for action of liquidating the short sellers.
High possibility of relief rally occurs but not enough confirmation yet.
