Bitcoin incapacity toe recover and close above the around 31’000 (intraday high reached yesterday @ 30’725) triggered a “DARK CLOUD COVER” which should be seen as an additional signal.
Please also note that the third resistance line, the one starting @ 32’411 (mentioned pt 7 in my yesterday’s morning analysis, see related ideas below) has. for the time being, worked perfectly in rejecting several successive upside breakout attempts.
Important levels to look at, on a daily closing basis, are the following :
TO THE UPSIDE : 31’000
TO THE DOWNSIDE : 28’600
A breakout of one of those levels would have the following implications :
25’401 former intraday low reached on May 12th
Important to note the FRAGILITY of the 28’600 – 25’401 trading range; therefore a breakout of the 28’600. very important would likely trigger a downside acceleration move, similar at the one seen on May 12th.
A “RISING WEDGE” is in progress.
Target is @ 23’872
Warning (BEAR TRAP !)
Recent price action during the last three H4 periods is showing 3 successive dojis, giving a warning signal of uncertainty and indecsion about further development.
In order to neutralise this ongoing pressure, the BITCOIn should at least recover and hold above the support line, currently @ 29’684)which also coincides with the KIJUN-SEN, and just above there is the cloud (twist) very thin around the psychological 30’000 level.
Actually caught between the Tenkan-Sen (@ 29’138) which is also the short term uptrend support line and the Kijun-Sen (@ 29’599) with slightly above, the hourly cloud zone between 29’670 and 30’004.
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