Quite a lenghty analysis, worth reading in my opinion.
Bitcoin is currently showing signs of weakness. It is no secret (see my last analysis) that it is into a downtrend and the breaking of the bear flag confirmed it.
Prices are still trading below the 200 days EMA and that level had been tested at least four times in the last month in the 4h chart. Every time rhe prices approached the 200EMA, there has been a major pullback. That level, in my opinion, will keep being a major level to watch. Both for psycological and technical resistance.
Parabolic SAR (not shown in the chart) shows signs of weaknesses too. It simply confirms the bear market we're in at the moment.
Volumes are definitely low at the moment. Seems like the market is accumulating and "sidewalking". This shows uncertainty in the market and it is definitely not a good sign, especially if coupled with a bear market.
Technically speaking I highlighted two major areas to focus on.
The green one, around 9400, shows the level at which a reversal may appear. The breaking of 9400 (with a supporting volume) may signal the end of the bear market and the reversal of the trend into a bull market.
The red one shows the current support at around 7800. If such a level is violated BTC is likely to fall even more and at a faster rate. A possible TP could be identified by the prolongation of the "pink line" that plots the uptrend support of BTC from it's launch.
As a side note, less technical and more "macroeconomical", we are noticing how the market is getting somehow more mature. The big boom that took prices up to a 19k figure now diluted and even the appearance of institutional investors (big investment banks) into the market did not inflow much more liquidity into the system. Although I still think this market is headed for the collapse I think it will take some time.
As a final thought, remember that "cash is a position"!
**Not a trading advice, merely my idea and analysis for informational and educational purposes only**
Bitcoin is currently showing signs of weakness. It is no secret (see my last analysis) that it is into a downtrend and the breaking of the bear flag confirmed it.
Prices are still trading below the 200 days EMA and that level had been tested at least four times in the last month in the 4h chart. Every time rhe prices approached the 200EMA, there has been a major pullback. That level, in my opinion, will keep being a major level to watch. Both for psycological and technical resistance.
Parabolic SAR (not shown in the chart) shows signs of weaknesses too. It simply confirms the bear market we're in at the moment.
Volumes are definitely low at the moment. Seems like the market is accumulating and "sidewalking". This shows uncertainty in the market and it is definitely not a good sign, especially if coupled with a bear market.
Technically speaking I highlighted two major areas to focus on.
The green one, around 9400, shows the level at which a reversal may appear. The breaking of 9400 (with a supporting volume) may signal the end of the bear market and the reversal of the trend into a bull market.
The red one shows the current support at around 7800. If such a level is violated BTC is likely to fall even more and at a faster rate. A possible TP could be identified by the prolongation of the "pink line" that plots the uptrend support of BTC from it's launch.
As a side note, less technical and more "macroeconomical", we are noticing how the market is getting somehow more mature. The big boom that took prices up to a 19k figure now diluted and even the appearance of institutional investors (big investment banks) into the market did not inflow much more liquidity into the system. Although I still think this market is headed for the collapse I think it will take some time.
As a final thought, remember that "cash is a position"!
**Not a trading advice, merely my idea and analysis for informational and educational purposes only**
הערה:
BTC broke the lower support and it's now headed towards the 7200 "pink" support. If that is broken as well 6,9 might be the next useful one.
