Tuesday update 03.01 - Bitcoin
Welcome back, I hope that everyone had a wonderful New Year's Eve!
Bitcoin is still trapped inside the bearish diagonal
Under the important resistance @18'391 our bearish scenario remains
As you may have noticed, from now on we publish new content on bitcoin and ethereum every Tuesday and Thursday.
In the last update I gave a detailed insight into our bearish count in bitcoin and since last week this count didn't change very much. Mainly because the trading volume was very low, and the price is still trapped inside the bearish diagonal.
If bitcoin doesn't break out of this diagonal the chances are pretty good that the upcoming days will deliver lower prices and with the breach of the last low @16'261$ we would have a first confirmation that the downtrend will pick up on volume.
To calm nervous investors down, we do have a bullish count in bitcoin that features a possible "break-out" scenario, but as longs as we stay below the marked green line @18'3981$ it doesn't have a big chance of playing out.
Below you can see our 1D chart which was the main picture of the last analysis, I decided to give everyone here a more "short-term" view in the 8H timeframe above...
At the end, both important levels are marked, and the next update will be published on Thursday.
If you should have any questions about this analysis, feel free to reach out directly to me.
Benjamin Mendenmein