Bitcoin about to Reverse.
Updated
It's funny to how people start to be bullish and start buying into Bitcoin and altcoins as they see the recent rally.
Remember, when everyone around you is bullish, is mostly a bad sign.
Bitcoin has formed a reversal Doji pattern which is expect to bring at least a correction to $35000 where the daily 20 and 50 EMA's are located.
Bitcoin has seen 8 positive days in succession which gains have to see a proper correction.
As Bitcoin has failed to break above pivot at $41330, forming a new lower high at $40900 a deeper correction is expected.
4h time frame is extremely overbought without any proper correction in the process.
The daily trend is still a downtrend so remain cautious.
If Bitcoin manages to find support at $35000 area, the daily trend will change into an uptrend.
However a if the price breaks below these EMA levels, daily downtrend will continue and values below $30000 could easily occur again.
Good luck!
Remember, when everyone around you is bullish, is mostly a bad sign.
Bitcoin has formed a reversal Doji pattern which is expect to bring at least a correction to $35000 where the daily 20 and 50 EMA's are located.
Bitcoin has seen 8 positive days in succession which gains have to see a proper correction.
As Bitcoin has failed to break above pivot at $41330, forming a new lower high at $40900 a deeper correction is expected.
4h time frame is extremely overbought without any proper correction in the process.
The daily trend is still a downtrend so remain cautious.
If Bitcoin manages to find support at $35000 area, the daily trend will change into an uptrend.
However a if the price breaks below these EMA levels, daily downtrend will continue and values below $30000 could easily occur again.
Good luck!
Note
The formation has failed to deliver as the gains overcame the losses from that day and canceled the bearish candlestick formation.
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