Bitcoin Retracement Potential - Back to the June 2019 High

BTCUSD
WHAT: As you can see, Bitcoin broke down from the falling wedge pattern as the equities selloff continued to accelerate. What is CLEAR is that Bitcoin and the S&P 500 are coupled together in large movements. MEANING, risk ON/OFF are the same with both assets. Will that change?? Only time will tell, but for now consider movements will be similar.

WHY $13K: So what would be the driver behind a further selloff for bitcoin to touch 2019 highs at $13K? The Federal Reserve balance sheet reduction, in my opinion and more RISK OFF by investors. What is important about this level is that it serves as previous support resistance AND technically it is the Yearly Support zone based on traditional pivots.

TAKEAWAY: Look for potential support and or bounce around the $13K level before going long on Bitcoin.

Cheers!