BTC update

BTC update

In the previous post about BTCUSD I wrote:

The current situation is more bearish. But it can change quickly due to the fact that the market is sluggish and is moving sideways. Let’s see if sellers can push the price through the long red support line. They now have every chance for this.

What we have now?

1) Attempt of bears to push the price through the long red support line. Volume = the Quantity of Effort. This is Supply pressure.

2) ND wave. Lack of buyers around 9k
3) Sellers resumed pressure. Another portion of Supply after ND.
4) Oh! This is EVRB around 8700. Small bearish progress (Price Decline) amid big Effort (Volume). Support arrived where it should be expected.

Why 8700 is the expected level of support? Look on background. We have spike of volume around 8700 (5). It was powerful bullish effort to breakout 8700 and reach 9800. It was a clear indication of bullish control over 8700 level. And – no surprise – we got EVRB signs of support (4) recently.

So, what a conclusion? Background matters.

What is next? If bears want to resume downward pace, the manipulative movement SLKT above 9k would be the rational scenario.

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