Bitcoin - The latest update

After yesterday's drop of more than 12%, we continue to maintain a bearish stance on Bitcoin. The latest price action confirmed our bearish thesis as BTCUSD failed to make a new high, and instead, it faltered back below the 20 000 USD price tag. Simultaneously, the CPI print spooked the market leading to a massive selloff in the equity.

Previously, we stated that the selloff would eventually accelerate. That is currently under manifestation, and we think the upcoming FED meeting will worsen an already dire situation. Meanwhile, technical factors continue to flash warning signs and trouble ahead for the overall cryptocurrency market.

Accordingly, we stick to our price targets at 17 500 USD and 15 000 USD.

Illustration 1.01
The image above shows the hourly chart of BTCUSD and its recent decline of more than 12%s. The nature of this decline is particularly bearish and further confirms our thesis.

Technical analysis - daily time frame
RSI, MACD, Stochastic, DM+, and DM- are all bearish. The daily time frame is extremely bearish.

Illustration 1.02
The picture above shows the most recent developments on the daily chart of BTCUSD. To further confirm our bearish thesis, Bitcoin has to drift below the most recent low at 18 540 USD.

Technical analysis - weekly time frame
RSI, MACD, Stochastic, DM+, and DM- are all bearish. The weekly time frame is bearish.

Please feel free to express your ideas and thoughts in the comment section.

DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.