BITCOIN'S CORRECTION FINALLY BEGINS.........
Here is a quick update on #BTC
Weekly
Price broke out bullish above the long term downtrend line resistance on strong volume. With such strong momentum I did expect the bulls to push price to the 5800 area which holds a very strong support all the way to 6000 Psychological support.
But we were quickly rejected by the 50 week MA at 5500 resistance area.
We will wait for the close of the weekly candle. A bearish candle below the current candle will indicate a further move to the downside.
If price breaks below the 5000 horizontal support level where we are now, the next weekly support levels to Watch out for are:
4750 (downtrend line support)
44000
4000
200 week MA (presently at 3500)
Daily
We formed a new resistance between 5300-5500 where we got rejected, and broke bearish from the rising wedge.
Downside momentum is building up strong as confirmed by the overbought RSI and bearish cross on stochastic.
We wait for a close of the candle for direction of price movement from here.
A new bearish candle opening below the present one will be a confirmation of further downward movement and a possible break of the 5000 support.
If the 5000 support breaks, next support levels are
4500 (200 daily MA)
4190-4153 (horizontal support & 50 MA)
4000-3950 (horizontal support)
However, I do expect a short term bounce in way of relief rally between 4200-4000 area where we have a confluence of support to retest the 4400-4500 area again and the a break of the 4000 support to retest the 200 week MA before a final move upwards to probably end the bear market IMO.
Weekly
Price broke out bullish above the long term downtrend line resistance on strong volume. With such strong momentum I did expect the bulls to push price to the 5800 area which holds a very strong support all the way to 6000 Psychological support.
But we were quickly rejected by the 50 week MA at 5500 resistance area.
We will wait for the close of the weekly candle. A bearish candle below the current candle will indicate a further move to the downside.
If price breaks below the 5000 horizontal support level where we are now, the next weekly support levels to Watch out for are:
4750 (downtrend line support)
44000
4000
200 week MA (presently at 3500)
Daily
We formed a new resistance between 5300-5500 where we got rejected, and broke bearish from the rising wedge.
Downside momentum is building up strong as confirmed by the overbought RSI and bearish cross on stochastic.
We wait for a close of the candle for direction of price movement from here.
A new bearish candle opening below the present one will be a confirmation of further downward movement and a possible break of the 5000 support.
If the 5000 support breaks, next support levels are
4500 (200 daily MA)
4190-4153 (horizontal support & 50 MA)
4000-3950 (horizontal support)
However, I do expect a short term bounce in way of relief rally between 4200-4000 area where we have a confluence of support to retest the 4400-4500 area again and the a break of the 4000 support to retest the 200 week MA before a final move upwards to probably end the bear market IMO.
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