Last time I posted about BTC we had to break through a key resistance structure at 7780-7800 to be put in a bullish position. We have been rejected and fell straight through a key support at $7400 to $6611.
Looking at BTC daily. The long term trend line was re-tested again and couldn't hold, resulting in BTC breaking down out of the wedge formation it was in. BTC bounced off the daily support which is $6611. Now this is a Major horizontal support structure and we need hold above this otherwise we can see high $5000 to $4000.
There is a Daily resistance at $6942 which if we break through we can see $7100 again. This is going to be a tough structure to break as we need strong buyers to come in.
I do think we are nearing the bottom of BTC. The market is still wanting to shake out the last of the weak hands and once we do this we will see a strong bullish reversal and a high influx of volume. I'm still long term bullish on BTC this is a short term pull back that will test a lot of people. The experienced hold and the weak sell.
Looking at BTC daily. The long term trend line was re-tested again and couldn't hold, resulting in BTC breaking down out of the wedge formation it was in. BTC bounced off the daily support which is $6611. Now this is a Major horizontal support structure and we need hold above this otherwise we can see high $5000 to $4000.
There is a Daily resistance at $6942 which if we break through we can see $7100 again. This is going to be a tough structure to break as we need strong buyers to come in.
I do think we are nearing the bottom of BTC. The market is still wanting to shake out the last of the weak hands and once we do this we will see a strong bullish reversal and a high influx of volume. I'm still long term bullish on BTC this is a short term pull back that will test a lot of people. The experienced hold and the weak sell.