Bicoinusd
BTCUSD price moves down to consolidate before the next growth At the 4-hours timeframe chart we can see the most relevant Bitcoin's price action.
Decrease started on 10th of July formed a small triangle which was easily broke up by bulls with insignificant volume increase. The price bounced from $9 060 to $11 160 level which equals 23.1% growth within 3 days. Rapid growth brought uncertainty and fear to market which is reflected by volume decrease, bears took power over the market.
Such price action created the second and the major triangle pattern which again was broken upward. The result was a positive mood among market players and subsequent 5 Elliott impulse growth waves. However there was no volume growth and thus the price started to crawl at the upper edge of adjusted RSI band. Once the price touched strong Fib 0.236 resistance it sharply went down to the parallel channel liquidating any potential of FOMO growth and breaking the resistance. Another band touch happened a day later, subsequent rejection created double top and closed the trap for bulls.
Currently we see a great potential of breaking parallel channel down triggering stop losses of recent longs which will result in sharp drop to $11 118 level and subsequent gradual decrease to the point (C) according to ABC Elliot corrective waves which is near to Fib 0.5 major support level. The forecast is enhanced by technical indicators state: we have no divergence, there is increasing volatility without tension and we are neutral according to CCI. Nevertheless we still have positive Ichi, Stoch and EMA 20 and 50 crossing.
We expect a short term decrease with a subsequent bounce from the support level. Such price action will be accompanied by a rise right to the mentioned at the chart levels.
BTC long time scenariosSo after this big dip it sound more easy to look from far on the Monthly Chart.
it can show use clearly that we are still in this bear Market for a long time.
Only a good catalyst would make BTC back in power mode.
First support would be a strong bounce on EMA at 4000ish.
Second Supoort 3200-3000. FOMO rebuy.
And the last one 1200-1500. Back to 2014 ATH.
Happy Tr4Ding!