Yesterday's BTC test of the $70,000 level failed to provide a breakout of the downward trend since March 14. The daily candle closed with a bearish shadow on top.
This is already the fourth (!) unsuccessful breakout. BUT since May 20 there has been a significant push towards this trend and buyers are making it clear that they will not back down.
Now the price has gone under two important supports:
- volumetric and psychological level $69,000,
- downward trend since May 21.
While the price is below these supports, the priority is, at best, the range, but in general, it is still a test of the EMA of the 50 day TF (currently $66,096). Where the fate of further movement will be decided.
We continue to wait for growth to the new ATH and the question is the same - with or without the EMA test of the 50-day TF (and the accompanying liquidity collection). Because although sales pressure is present, buyers, we repeat, do not give up their positions under pressure. Now there is local parity of power on the chart and the question is whose liquidity will be collected next. Will it be a false takedown, an increase in liquidity and continued growth? Or the price will go up, plus or minus from the current ones.
According to the BTC Price Volatility Index, by the way, there is a possibility that the range will continue in the coming days. The emerging reversal may be broken again today. You need to wait until the daily candle closes. DeMark candle counting still doesn't work well on this chart, although it has been a great way to analyze the Index over the past few months.
A possible breakdown does not change the fact that in the near future and this week we expect a sharp upward movement in the Index. One powerful green candle. Accordingly, expectations for impulse movements in the BTC price this week are also valid. Moreover, there are plenty of reasons in the news this week.
