Retrace and then a potential test of downtrend or lower lows

17 Nis 2018

Short term, BTC is losing volume and showing signs of a potential retrace to the 0.618 fib - 0.5 fib level around 7500. That box of support needs to hold in order for us to potentially get a bounce out of the 120 day log downtrend (Dashed Line). A potential trade setup can come from any of these support resistance lines, but I am personally looking a short play at the local resistance level of 8150 with a Target Price somewhere within the box indicated. There has been a bearish divergence for a while now that so far hasn't given us as much of a retrace as one would expect. Could this be extreme bullishness or simply a delayed retrace?

From a fundamental analysis perspective, its important to note today is the end of tax season in the United States. Many analysts have noted that this could be a catalyst for growth, but we need to see more dollars physically enter the cryptocurrency market or else we risk seeing lower lows.

17 Nis 2018

Not

tightening order block, matches up quite nicely with a potential head and shoulders on hourly.