BTCUSD Break of Support or Resistance?| Key $7800 level!
Hello Traders!
Welcome to another update today, this time on BTCUSD daily timeframe
On the daily chart we have very clear levels that need to be watched in terms of support and or resistance.
Bitcoins next move will equate to either break of support or a break of local resistance - $7800, a very key level.
Points to consider,
- Trend bearish
- Local resistance at $7800
- Support at .618 Fibonacci
- Stochastics in upper regions
- RSI Diverging from price
- Volume below average
- EMA’s crossing
BTCUSD trend is currently in control by the bears as we have consecutive lower highs on the chart.
Local resistance is found at the $7,800 mark, a key level for the bulls to break in order to negate the overall market structure. Local support in confluence with the .618 Fibonacci level, must hold price. This needs to maintain in order to put in a new higher low in the trend.
The stochastics are currently in the upper region, can stay here for an extended period of time, however lots of stored momentum to the downside. The RSI has diverged from price, causing a bullish divergence. It must respect its now established trend line to hold a bullish bias.
Volume is below average, an influx of volume is required with convincing follow through in either direction to avoid false break.
Overall, in my opinion, BTCUSD is at a critical point where a break in either direction will dictate the fate of the trend. A bearish break of a key Fibonacci level will increase the probabilities of further lower lows. A bullish break of local resistance, $7800, will negate the bearish structure and put in a new probable higher low.
What are your thoughts?
Please leave a like and comment
,
And remember,
“It’s OK to be wrong; it’s unforgivable to stay wrong.” -Martin Zweig
Welcome to another update today, this time on BTCUSD daily timeframe
On the daily chart we have very clear levels that need to be watched in terms of support and or resistance.
Bitcoins next move will equate to either break of support or a break of local resistance - $7800, a very key level.
Points to consider,
- Trend bearish
- Local resistance at $7800
- Support at .618 Fibonacci
- Stochastics in upper regions
- RSI Diverging from price
- Volume below average
- EMA’s crossing
BTCUSD trend is currently in control by the bears as we have consecutive lower highs on the chart.
Local resistance is found at the $7,800 mark, a key level for the bulls to break in order to negate the overall market structure. Local support in confluence with the .618 Fibonacci level, must hold price. This needs to maintain in order to put in a new higher low in the trend.
The stochastics are currently in the upper region, can stay here for an extended period of time, however lots of stored momentum to the downside. The RSI has diverged from price, causing a bullish divergence. It must respect its now established trend line to hold a bullish bias.
Volume is below average, an influx of volume is required with convincing follow through in either direction to avoid false break.
Overall, in my opinion, BTCUSD is at a critical point where a break in either direction will dictate the fate of the trend. A bearish break of a key Fibonacci level will increase the probabilities of further lower lows. A bullish break of local resistance, $7800, will negate the bearish structure and put in a new probable higher low.
What are your thoughts?
Please leave a like and comment
,
And remember,
“It’s OK to be wrong; it’s unforgivable to stay wrong.” -Martin Zweig