On the Daily chart Bitcoin has the potential to complete a Head and Shoulders pattern, like so many altcoins did- so watching for this confirmation of drops below key support is critical.
When looking at the Monthly chart, the RSI/SRSI indicators show a likely continuation down, indicating more time is likely needed to shake out this correction.
Currently resting on the 13 Moving Average on the Monthly, the 34 and 100 moving averages are shown for reference. A drop below the 13 MA would set us up for confirmation, and a test of the 34 MA. $20K and then possibly a test of $10K are very real longer term correction targets to consider.
When looking at the Monthly chart, the RSI/SRSI indicators show a likely continuation down, indicating more time is likely needed to shake out this correction.
Currently resting on the 13 Moving Average on the Monthly, the 34 and 100 moving averages are shown for reference. A drop below the 13 MA would set us up for confirmation, and a test of the 34 MA. $20K and then possibly a test of $10K are very real longer term correction targets to consider.
Comment:
Bitcoin definitely completed the 20K correction. We should be in good shape now to keep going up long term since the dollar index is falling.
Looking at RSI/SRSI Multi Time Frames, on the 1 Day, BTC still not quite fully oversold on the 1 Day, but this consolidation sideways leaves me willing to consider that if it holds, we could see a continuation up.
Not financial advice. Don't invest more than you can afford to lose. Learn basic trading fundamentals, and consider using tight stop losses.