? Downtrend Channel and Bearish HMA Remain Key for Bitcoin (BTC/USD) ?
Hi traders,
Bitcoin is showing strong bearish momentum which is best seen via the candlesticks and the bearish angle of the HMA (pink). BTC/USD could however restart the uptrend if it bounces at the horizontal support levels and round levels like 5k.
BTC/USD
Weekly
Another key factor for the uptrend is if candlesticks are able to rebreak above the HMA. A bullishly angled HMA could confirm the uptrend continuation.
Daily
BTC/USD broke below the bear flag patterns (dotted blue lines) as indicated in our analysis from last week. The breakout confirmation kick started a continuation of the downtrend channel. A bearish continuation is possible as long as price remains in the downtrend channel. Price would need to break above the resistance zone before a larger correction could take place (purple box). Price needs to reach the blue box before it reaches an area where an uptrend is likely.
Daily
This image shows BTC/USD while using our SWAT software. The red candles are still indicating that bearish momentum is control. A break above the 21 ema zone is needed before blue candles could appear. But the real uptrend could start if price breaks above the long-term MA (black arrow). Price is now challenging a long-term MA as well (blue arrow).
Good trading,
Chris Svorcik
Elite CurrenSea
