Not much has changed with Bitcoin price since yesterday as it stayed within a $50 range. We are in a rising wedge on the short term while it’s having some difficulty breaking through the Fibonacci levels.
On the fence
Even still, this area for BTC price 00 is a no-trade zone for the most part due to the low volatility and the lack of direction from the bulls and the bears.
Expecting some volatility with the week as more volume typically occurs during the week days than on the weekends
From a zoomed out view on the weekly, Bitcoin price 00 is still in its descending triangle, which typically breaks downwards most of the time.
However, one thing we have is an inverted hammer, which is typically a very bullish reversal sign at the end of a long downtrend.
More Down or Reverse?
The key will be the next two weekly candle closings to either confirm a reversal or confirm a continuation to the downtrend.
I don’t expect us to stay in this range for very much longer.
Volume isn’t always a factor, but I like to see volume confirmation of the move before drawing any conclusions.
$6100-6200 is the lower support and $6800-$6900 is the upper-level support.
Bitcoin price is struggling to break the 50-day MA on the daily and is back within the previous range that it’s been stuck in since the middle of September.
If it breaks the downtrend resistance with volume, watch for the pullback retest.
I still have staggered buy orders at $6200 and $6100 and $6,000 for a potential stop run before a bullish move.
Currently, shorts are much higher than longs that are on margin, which is typically a bullish leaning sign for another short squeeze potential.
Altcoins continue to be the place where money is moving, so our focus continues to remain there.
I will shift my focus back to Bitcoin 00 when it becomes more predictable based on technical analysis .
See my video breakdown here:
Where is Bitcoin price headed? Share your thoughts below!
