D1 : Yesterday's price action, after having reached a low of 53'400, recovered nicely and triggered a bullish engulfing pattern with a
closing level exactly at the bottom support line of the ongoing uptrend channel. Ongoing today's price action is showing for the time being
a reversal price action which of course should be confirmed this evening on a closing basis on this time frame.
Nevertheless, as you can see on this chart, BTC is currently traded in a critical support zone.
A failure to stay and hold above the uptrend support trend line (in green) would be negative and would open the door for the very important
support area, which is the clouds zone ranging from 54600 towards 49990 with the 38.2% Fib ret @ 51106 !
Therefore, I would suggest to monitor closely price action over the day on shorter time frames which will give you intermediate validation or invalidation
on the expected bearish scenario.
CONCLUSION :
BULLISH SCENARIO :
IN ORDER TO NEUTRALISE THIS ONGOING BEARISH PRICE ACTION, BTC SHOULD :
1) REENTER IN THE UPTREND CHANNEL AND HOLD IN IT
2) RECOVER AND HOLD ABOVE THE MID BOLLINGER BAND (58906)
3) CONFIRMATION OF THE BREAKOUT OF THE ONGOING DOWNTREND LINE RESISTANCE (BEARISH PHASE IV)
BEARISH SCENARIO (EXPECTED)
AS MENTIONED ABOVE IN MY ANALYSIS
closing level exactly at the bottom support line of the ongoing uptrend channel. Ongoing today's price action is showing for the time being
a reversal price action which of course should be confirmed this evening on a closing basis on this time frame.
Nevertheless, as you can see on this chart, BTC is currently traded in a critical support zone.
A failure to stay and hold above the uptrend support trend line (in green) would be negative and would open the door for the very important
support area, which is the clouds zone ranging from 54600 towards 49990 with the 38.2% Fib ret @ 51106 !
Therefore, I would suggest to monitor closely price action over the day on shorter time frames which will give you intermediate validation or invalidation
on the expected bearish scenario.
CONCLUSION :
BULLISH SCENARIO :
IN ORDER TO NEUTRALISE THIS ONGOING BEARISH PRICE ACTION, BTC SHOULD :
1) REENTER IN THE UPTREND CHANNEL AND HOLD IN IT
2) RECOVER AND HOLD ABOVE THE MID BOLLINGER BAND (58906)
3) CONFIRMATION OF THE BREAKOUT OF THE ONGOING DOWNTREND LINE RESISTANCE (BEARISH PHASE IV)
BEARISH SCENARIO (EXPECTED)
AS MENTIONED ABOVE IN MY ANALYSIS
