Bitcoin trend reversal ?
Does bitcoin have support at 7700$ or are we going further down?
The sellers seem to be reaching exhaust as the daily volume goes down and the price bounced twice from 7700$ which is charting pattern that signals a support level and might be the beginning of the rebound. Another reason to think that bitcoin is near the reversal is that mining is no longer profitable at current rate.
What is to expect?
If bitcoin successfully breaks the trend line, the asset will likely retest the 9400$ resistance which has been a critical point for bitcoin lately.
The bear scenario is that it fails to break the trend line and it goes further down to 6k but I find this very unlikely.
Important marks to watch: support 7700$ and 8200$ resistance
Trading recommendation:
The market is unsettled and right now it is risky to trade, but I see an opportunity to test the market and make a long position in the range 7700-7850$ with an SL around 7650$ and target price the target price 8450$. The risk/reward ratio of this position is 1:3.
Learn more about technical analysis: https://www.investopedia.com/terms/d/doublebottom.asp
https://www.investopedia.com/terms/r/riskrewardratio.asp
Written by: @javieralexvr
well while I really hope we are finally close to a reversal, I have to say that ain't completely true that mining is NO LONGER profitable. It depends where your mining operations are located. the REAL bottom for BTC mining profitability is around 3500 USD at current difficulty
True but in some countries is, and this could hurt the hashrate of bitcoin network
my mining for example is very very close to unprofitability levels, but I have faith and I'm not turning off my miners
Your faith shall be compensated in the long term
hope it doesnt reach below 7200
Good analisis data bickoin