Bitcoin Price Evaluation: Major Support Broken on Distribute and Expanding Volume
Bitcoin Price Evaluation: Major Service Broken on Expanding Volume and Spread
Hint 2: BTC-USD, 3-Day Candles, Bollinger Bands
The 3,000 level is one of the very few established levels which has proven to maintain throughout a service retest. And, since we’ve already seen climactic volume in the significant sell-off to $3,100, it appears plausible that people ’ll get a slightly deeper evaluation of the 3,000 values.
From there, see and we’ll have to reassess if we are able to handle a retest of that service zone the way the macro perspective looks. A weekly close below that amount is a move so we will have to keep an eye out to where the candles that are weekly close. It’s entirely possible that this amount will hold up nicely below a test given much buyer interest there had been time around. But for now, we’ll have to play with it candle by candle and see the way the bulls react to some of the low.
Figure 3: BTC-USD, Weekly Candles, Next Macro Support Level
- Bitcoin finally broke its multi-week service level.
- The break came about on expanding volume and price spread. Increasing quantity and spread coupled with a major support fracture will likely lead to a test of deeper support and is a indication of fatigue that is bullish.
- There is a major support level below a current low in the 3,000 area. There’ll likely be purchaser interest in this zone, since the market presents itself but we will have to gauge the answer to a test of deeper lows.
The figure above shows a merged market — a market that took months to combine. Bitcoin has discovered itself for another move. The very first pitstop on its move is the retest of the former non in the low $3,000 area. As we move up in timeframes, the weekly candles are still demonstrating a zone of service between $3,000 and $3,150:
Following weeks of consolidation, bitcoin finally broke through support. The market currently finds itself toward prior lows. On expanding volume and spread, the bitcoin market appears ripe for a continuation of the downtrend:
Even though the current daily candle has to close, unless there’s a powerful influx of need it stands to reason that bitcoin will be shutting a fresh low. Observing the stopping action in the low $3,000s, the bitcoin market stayed coiled for over a month. Today marks the initial break of these levels. To exemplify how coiled the market was and how possibly large the Subsequent move could be, check out the 3-Day Bollinger Bands (bbands):
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