Bearish Channel - Bullish upswing first week of February
Updated
We've seen BTC fall through historic moving averages recently. What I'm looking at now is major trendlines. We can see that the major trendline formed by the beginning of the manic run-up in since September is still holding. We've had a few touches and this indicates we are still bullish long term.
In the short term we can see BTC moving in a clear downward channel. We are seeing past support holding right at 11,200. This appears weak, and I expect it to break. It appears we will have lows somewhere around the 26th(+2) with a price of around 9800 - 10200. Afterwards I expect a reversal to the bullish side between February 2nd and February 4th as we reengage our ascent on the ascending major trend-line. With slower sell offs we can see the MD indicating a slowing down of bearish momentum. In the short term, it is difficult to see anything other than BTC being the play here.
In the short term we can see BTC moving in a clear downward channel. We are seeing past support holding right at 11,200. This appears weak, and I expect it to break. It appears we will have lows somewhere around the 26th(+2) with a price of around 9800 - 10200. Afterwards I expect a reversal to the bullish side between February 2nd and February 4th as we reengage our ascent on the ascending major trend-line. With slower sell offs we can see the MD indicating a slowing down of bearish momentum. In the short term, it is difficult to see anything other than BTC being the play here.
Note
Support was broken as expected. We are still holding our expected downtrend channel trendlines. Looking good. I'm expecting a small bounce here then a continuation on our downtrend.Note
We have reached the bottom of the downtrend channel and are not riding along the rising trendline.Today[s candle shows market indecisiveness. Look for the location of the next candle to determine what direction we are going in. As originally stated, I am expecting upward movement from here.
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