BTC daily chart analysis | Just a correction wave?
Price is still moving inside a pennant pattern on the weekly chart. On the daily chart a downward channel is forming. As expected, the support at 42-44k region did not hold. This level has now flipped into a resistance. The next support level can be found at the 37.5k region.
Overall, it still looks like the price is moving towards the bottom of the triangle (30k); volume has increased on the 4H chart while price is rapidly decreasing. Price is likely to hit 37.5k before a correction happens; RSI on the 4H chart is showing oversold signals, confirming a pending reversal.
However, we might be on wave C of an Elliot correction wave. If price breaks out above 44k, further bullish movement is to be expected.
These are just my ideas, not financial advice. Please let me know what you think.
Overall, it still looks like the price is moving towards the bottom of the triangle (30k); volume has increased on the 4H chart while price is rapidly decreasing. Price is likely to hit 37.5k before a correction happens; RSI on the 4H chart is showing oversold signals, confirming a pending reversal.
However, we might be on wave C of an Elliot correction wave. If price breaks out above 44k, further bullish movement is to be expected.
These are just my ideas, not financial advice. Please let me know what you think.