Looking at the lines that I've drawn, it seems that the uptrend and downtrend channels will be intersecting soon, creating a symmetrical triangle... so BTC price will break upwards or downwards soon. If it breaks upwards it will test the downtrend line (black), and if it breaks downward then I guess the next support is around 8200-8300? Just a guess
Note
So BTC price broke downwards from the triangle... looks like it might test the bottom of the downward channel, which might coincide with 61.8 FIB retraction (around $8215). Will it bounce up from there?Note
If it drops to $8215, it would mean a 50% retracement of the upward movement from $7200 to $9200, which would be acceptable before the start of the next EW (wave), on 1H timeframe the RSI will probably be in oversold condition so indicators and patterns point to a bounce from that point... the question is, will the bounce be the restart of the uptrend, or will it drop lower?Note
BTC price dropped to around $8330, now hovering around the support of $8421 and appears to have formed a bear flag... perhaps a further drop imminent to test the 61.8 FIB retracment at $8215?Note
So it looks like BTC has broken down from the bear flag... next stop $8300, then will it go down to $8215?Note
BTC managed to go upwards from the bear flag to test the top of the downtrend channel, and now seems to drop from it... so maybe it might test the next support at 61.8 FIB ($8215)... time will tell.Note
So it dropped to $8300 now... hovering around there and maybe consolidate around this price for a bit then drop towards $8215... then will it bounce back into the uptrend? Or continue breaking downwards? The indicators suggest a bounce.Trade closed: stop reached
Looks like BTC has broken out of the falling wedge. The price didn't quite reach the expected $8215 but probably because everybody was expecting it to fall to $8200 so put their limit orders above that (it fell to just below $8300).
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.