Bearish continuation by Bitcoin
- RSI : trending down
MACD: cross over signal.
Net : Bears are in control of the market. Bounces are shallow and short lived.
Pattern: ( ).
Timeline: expected to continue for 1-2 days.
TD Sequential: Perfect 9 - This normally indicates a 1-4 candle reversal, but should be discounted for now.
We are now painting daily candles below the 200MA.
At the same time, Margin Longs and Shorts are at all time highs, signalling a massive war between bears and bulls. At present the bears are winning this battle. This could lead to capitulation by the bulls, and as we know, closing margin longs involves a sell, which would cause further down pressure on market price.
As a result, I'm not going to set any targets for the bottom here, the uncertainty factor is massive right now. I may look for small pushes upwards to reshort.
Major support is at 6k, There is some possibility of a forming here, but we must consider this to be unlikely with such massive downward action.
The drop to 6k did not happen. This is very bullish, and I am now confident the bottom is in longterm.
golden line is my buy zone
blue lines are historic supports
red lines are historic fib supports from the wave up to 20k.