Bitcoin — Consolidation or Further Correction?
Volatility was king yesterday. While bulls were excited when BTC hit 62k, bears celebrated when Bitcoin briefly dipped below 60k. Ultimately, the daily candle closed almost exactly where it had opened.
Today starts green again. However, it is still not time to celebrate from my point of view. Although the open interest rate saw a healthy decrease, there are still too many bearish signs.
Therefore, I still think that a revisit of the middle trendline and a stronger dip below 60k is likely. Remember, the tensions in the Middle East are just heating up and will likely create more uncertainty before the market continues as normal.
In addition, Bitcoin seems to print a bear flag on the hourly chart, which could trigger another leg down.
The situation remains dangerous. While DCAing is always an option, I would be careful when entering (leveraged) longs too early!