Context is still bearish

15 Apr

Morning folks,

So, unfortunately for BTC - it is traded 24/7, so while other markets were closed, BTC has taken all the mess from geopolitics. With recent collapse, it is logical to ask - where all those people who were taking about "safe haven", "gold replacement" etc...

Now due geopolitical turmoil in weekend, our short-term bullish context has been destroyed, so H&S was not able to reach the target and has been erased.

As a result, for now short-term context has turned bearish and we think that it is not time yet for taking new long position. On daily chart MACD is bearish and we've got bearish reversal swing last week.

From this standpoint, current upside action might be just a retracement. To start thinking about new long entry we have to get bullish pattern, say reverse big H&S on 4H chart or any other. Daily trend has to turn bullish again.

Now we have nothing of it. Thus, the situation is not ready yet for new purchasing. On 1H chart we need to watch how upside action will develop. Picture could improve significantly if BTC will return back to the top, but now it is still a retracement with predefined upside targets.