Let's look at the daily chart of Bitcoin and draw Fib Retracement grid. Now we can see that the market reached a strong support zone formed by 3500.00 support level, 0.5 Fib level and the uptrend line. This is the key zone. If the market can't breaks it, we should expect for a new upward movement. We must watch closely for price action in this zone. We must be ready to open long trades. Alternative, if the price drops below this zone, the next one will be at 3000.00 support level. This zone is formed by the support level, 0.618 Fib level. It will also have power to stop and reverse the falling market. This zone will be a good place for opening new long trades. Let's wait for clear signals and follow the market.
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I'm a big fan of technical analysis, but I think we can't look here for the next movement. It needs to come from the news. BTC has been knocked by news from China and I'm holding off predicting short-term movements upward until we get something positive.
News from China were passed. The price is good for buying. I think we'll see a new upward movement soon. The nearest target is 5000.00 level.
I've see previous predictions from multiple TA calling for $2000-2400 BTC but the downtrend reversed as soon as it went to $2800 Are we seeing all this complexity because the previous correction wasn't enough?
How lower do you think the current downtrend go? I'm considering shorting BTC.
the main trend is upward. If you want to short this market, you must be very careful. If the market bounces from 4000.00 level, may be you will see downward movement. But don't forget about the uptrend line. I don't think that shorting is good idea.
I was considering the H&S pattern that was forming. In the long run I do think BTC can hit 7K or maybe even more. I'm thinking of a more short term bear before a big upwards movement.