Basically, this chart is using support/resistance from fibs, price action, and Gann Fan's (not shown). Of course anything can happen, but this chart is playing on a bit of a head and shoulders, with the head at $307, LS at $272, and a hypothetical RS at $270 (.618 micro/.707 macro fibs). The drop is to force a massive shakeout before bigger players enter, creating a solid double bottom from which bitcoin can go upwards from.