The correction would see BTC dip to 6.2k-6.8k. This would be in line with the 30% correction in an upmarket. The RSI has been oversold for two months and the funding rate on BITMEX is also favouring the shorts. The recent scaling to 9k would suggest BTC has peaked and we might see a short term pullback.
When BTC dips to the rectangular are it should be a good buying opportunity. 8.3k could act as a short term support but the major support is 6.2-6.5k. The 50DMA would also be in this region and will act as major support.
For the bullish narrative to remain intact the pullback should be small (not more than 3 weeks). If the market recovers within a week, we might see BTC smashing 10k in coming months.
When BTC dips to the rectangular are it should be a good buying opportunity. 8.3k could act as a short term support but the major support is 6.2-6.5k. The 50DMA would also be in this region and will act as major support.
For the bullish narrative to remain intact the pullback should be small (not more than 3 weeks). If the market recovers within a week, we might see BTC smashing 10k in coming months.
Comment:
The way 50 DMA is climbing. 7.2k level is also good for this retracement.
Comment:
7.2k seems more likely level of retracement. However, if BTC sustains at this we might not go down at that level. Also, A H&S formation is forming but it is not confirmed and shouldnt be traded as such.
Comment:
Didnt happen. 7.4k was the bottom here. Still would like to revisit this when a correction happens