Bitcoin - No trend reversal in sight, BTC eyes 15 000 USD
Yesterday, we changed our short-term bias back to bearish from neutral/slightly bullish. Additionally, we set new price targets at 17 500 USD and 15 000 USD, representing approximately an 11% and 24% decline from the current price level. Our bearish medium-term and long-term view is based mainly on fundamental factors like higher interest rates and economic tightening. However, technical aspects also support our thesis, especially across weekly and monthly time frames. Because of that, we continue to maintain our price targets and bearish bias. Accordingly, we expect BTCUSD to make new lows over time.
Illustration 1.01
BTCUSD trades within the descending channel. Breakouts below the lower bound were followed by a new low and sideways moving price action. There are similarities between the previous price action and the current price action.
Technical analysis - daily time frame
RSI loses momentum. Stochastic starts to flatten. MACD points to the upside; however, it remains in the bearish territory. DM+ and DM- remain bearish. Overall, the daily time frame is neutral (and less bullish than in previous days).
Illustration 1.02
Interestingly enough, volume started to pick up in the past four days; that hints at an increase in the selling pressure.
Technical analysis - weekly time frame
RSI, MACD, Stochastic, DM+, and DM- are all bearish. Overall, the weekly time frame stays bearish.
Illustration 1.03
The failure of BTCUSD to retrace fully toward the 20-day SMA suggests that the downtrend correction is losing momentum.
Please feel free to express your ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.
Illustration 1.01
BTCUSD trades within the descending channel. Breakouts below the lower bound were followed by a new low and sideways moving price action. There are similarities between the previous price action and the current price action.
Technical analysis - daily time frame
RSI loses momentum. Stochastic starts to flatten. MACD points to the upside; however, it remains in the bearish territory. DM+ and DM- remain bearish. Overall, the daily time frame is neutral (and less bullish than in previous days).
Illustration 1.02
Interestingly enough, volume started to pick up in the past four days; that hints at an increase in the selling pressure.
Technical analysis - weekly time frame
RSI, MACD, Stochastic, DM+, and DM- are all bearish. Overall, the weekly time frame stays bearish.
Illustration 1.03
The failure of BTCUSD to retrace fully toward the 20-day SMA suggests that the downtrend correction is losing momentum.
Please feel free to express your ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.
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