Hello everyone,
To get right into the action; we saw a breakdown from the 1200 EMA. As you can see from our previous post, we mentioned that a breakdown from that level could be the first step to the start of a new downtrend cycle.
We also have the dashed trend-line (in white) that failed to act as a support, and is currently breaking-down as we write this post. This trend-line has proved reactive in the past, and it's failure to hold BTC above $7,650 is significant.
Finally, we have the (blue) trend-line coupled with the 200 EMA (in yellow) in the same area. These 2 indicators are highly reactive and could present a strong support level.
The selling volume is increasing now and the chances of a reversal are slowly decreasing.
The MacD is also currently breaking below the 0 line, which is also another characteristic of our previous downtrend cycle. However, it has to hold under the 0 line for this to be true.
We must watch the levels below to see if it holds for a reversal, or for another breakdown below these levels. This will push BTC to the $6,xxx range, and possibly finding a new low under $5,700.
Please let us know if you have any questions! We're more than happy to have an open discussion.
Thank you for reading.
To get right into the action; we saw a breakdown from the 1200 EMA. As you can see from our previous post, we mentioned that a breakdown from that level could be the first step to the start of a new downtrend cycle.
We also have the dashed trend-line (in white) that failed to act as a support, and is currently breaking-down as we write this post. This trend-line has proved reactive in the past, and it's failure to hold BTC above $7,650 is significant.
Finally, we have the (blue) trend-line coupled with the 200 EMA (in yellow) in the same area. These 2 indicators are highly reactive and could present a strong support level.
The selling volume is increasing now and the chances of a reversal are slowly decreasing.
The MacD is also currently breaking below the 0 line, which is also another characteristic of our previous downtrend cycle. However, it has to hold under the 0 line for this to be true.
We must watch the levels below to see if it holds for a reversal, or for another breakdown below these levels. This will push BTC to the $6,xxx range, and possibly finding a new low under $5,700.
Please let us know if you have any questions! We're more than happy to have an open discussion.
Thank you for reading.
Comment:
It seems that the white dashed-trend-line has proved resistant for BTC up until now. This could indicate further downside movement to the blue trend-line and 200 EMA (in yellow).
Comment:
Looks like we bounced off the 38.2% fib level, and are now testing the dashed trend-line for resistance. At this level, breaking above or below either side will dictate which direction BTC takes next.
Give us a follow for more updates!
Give us a follow for more updates!
Comment:
We've broken the fib level, and are currently sitting on the blue trend-line, right below the 200 EMA (in yellow). If the selling volume persists, we could be looking at a breakdown from here as well.
Comment:
As you can see from this chart, IF we break this level, we might see a steep drop to around $6,800. The volume profile shows us that we have little resistance/support activity going on between $7,2xx-$6,8xx. We can also see a sharp drop on (6/10) and a sharp rally on (7/17), which are what the next drop might look like if we were to follow the same pattern.
As you can see from this chart, IF we break this level, we might see a steep drop to around $6,800. The volume profile shows us that we have little resistance/support activity going on between $7,2xx-$6,8xx. We can also see a sharp drop on (6/10) and a sharp rally on (7/17), which are what the next drop might look like if we were to follow the same pattern.
Comment:
It seems the blue trend-line has held supportive enough for a bounce! We'd have to see more buying volume from here on if we are to break above the $7,5xx-$7,3xx range.
