Short term bearish if THIS level breaks
The current situation:
1. Since the reversal, price action has reversed and got rejected at about the 0.618 Fib level and has not been able to close back up above the the 0.5 Fib level at about 32K. Currently, a head and shoulders pattern is apparent on the hourly chart. Breaking the neckline at about 28.6K will indicate the bearish pattern is playing out and the measured target is at about 23K. Do mind that the measured target may or may not be reached.
2. Daily candle does currently signal strong seller strength with with high volume, seeing how today's candle closes will be important.
The bullish case: price action does need at least an hourly close above the 0.5 Fib level at about 32K to negate the head and shoulders pattern.
The bearish case: price action breaks down below the neckline, under which there are still quite a few moving averages acting as support and may or may not on one of them.
*Let me know in the comment section if you agree or disagree, would love to hear your ideas too.
*These are purely my speculations and not financial advice. You should always do your own due diligence before trading or investing.
1. Since the reversal, price action has reversed and got rejected at about the 0.618 Fib level and has not been able to close back up above the the 0.5 Fib level at about 32K. Currently, a head and shoulders pattern is apparent on the hourly chart. Breaking the neckline at about 28.6K will indicate the bearish pattern is playing out and the measured target is at about 23K. Do mind that the measured target may or may not be reached.
2. Daily candle does currently signal strong seller strength with with high volume, seeing how today's candle closes will be important.
The bullish case: price action does need at least an hourly close above the 0.5 Fib level at about 32K to negate the head and shoulders pattern.
The bearish case: price action breaks down below the neckline, under which there are still quite a few moving averages acting as support and may or may not on one of them.
*Let me know in the comment section if you agree or disagree, would love to hear your ideas too.
*These are purely my speculations and not financial advice. You should always do your own due diligence before trading or investing.
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