Good time to be bearish on Bitcoin (BTC/USD)?!?
Updated
Firstly I would like to point out that I am on a 1H chart, yes I understand that the 1H holds less significance than the 1D and 1W but stay with me, because short term charts bleed into long term charts soon after. I must point out that the 21 exponential (cyan) is now acting like resistance to our candles, when this has occurred in the past the candles have generally at least tested the 50 exponential (red). Not to mention that the RSI looks like it wants to settle around the 30ish area again and cool off. Also the MACD is falling and its histogram is showing selling pressure. This is concerning, even though the 1H analysis is generally short term, because we are in a critical area. This area could become a failed rally, a rally that also had low volume on the break out suggesting we are loosing steam. This area is critical because we don't have much room to fall without causing a panic in the market and bears to gain an upper hand. If we fall below the 50 exponential we are more likely going to hit our next major support which was our major resistance of the ascending triangle broken on May 19th (8360.00 area).
To sum things up I am starting to see that we are losing steam, I am not bearish just yet but definitely cautious now due to these findings. This is just a market update to my last chart before the break out on May 19th. There we were coiling up and had more potential because we had the ability to break up much stronger than we actually did. If we do not climb above the 21 exponential (and continue closing candles above) and our indicators do not cool off or recover soon we could see the candles pulling us down for a nice ABC correction. Using the up fib we might see a correction down to the 6700.00 USD area which would be the .382 on the 1D BTC/USD chart, and a nice solid support after a crash.
If our indicators in the short term recover and our candles push above the 21 exponential then we can feel less cautious and rely back on our Bitcoin to 10k chart posted recently. To clarify it would probably hit 9600.00 area first, and of course at that time we would need to evaluate the market situation again. To further clarify this is an update the the BTC to 10k chart posted recently!!
Status: Cautiously bullish.Partially bearish. Stop losses set.
To sum things up I am starting to see that we are losing steam, I am not bearish just yet but definitely cautious now due to these findings. This is just a market update to my last chart before the break out on May 19th. There we were coiling up and had more potential because we had the ability to break up much stronger than we actually did. If we do not climb above the 21 exponential (and continue closing candles above) and our indicators do not cool off or recover soon we could see the candles pulling us down for a nice ABC correction. Using the up fib we might see a correction down to the 6700.00 USD area which would be the .382 on the 1D BTC/USD chart, and a nice solid support after a crash.
If our indicators in the short term recover and our candles push above the 21 exponential then we can feel less cautious and rely back on our Bitcoin to 10k chart posted recently. To clarify it would probably hit 9600.00 area first, and of course at that time we would need to evaluate the market situation again. To further clarify this is an update the the BTC to 10k chart posted recently!!
Status: Cautiously bullish.Partially bearish. Stop losses set.
Trade closed: target reached
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