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Daily Bitcoin Price Update: Horrible Day, But Necessary In My Opinion, Let Me Explain



Alright folks, we had a horrible day, Bitcoin fell 12% and it looks like we will continue to go down from here. Lets have a look at the daily chart:

See my work over at Steemit: https://steemit.com/@freeforever

Comment: We broke 2 important trendlines today so that is clearly negative and we also closed at the very low for the day.

But Im actually not that disappointed at this pullback and reason is that Bitcoin has not found a solid foundation yet. The area around 10-11k is not good enough in my opinion. We need to head down to at least 8800 which is the 200 day moving average (yellow line) but preferrably down to 7500 which is where we have solid support. We have 2 historic peaks in that area and that is also the 61,8% retracement level.

But I wanted to end this analysis by having a look at the same time chart but without candlesticks. Here it is:

Comment: When we look at this chart with only daily closing prices it is much easier to see the peaks and bottoms. Here, we can clearly see that Bitcoin is in a short term bear market, we are constantly making lower high and lower lows. I cant believe I havent looked at this type of chart in a long time. I will start doing that more often.

Thats all for now, and remember, I could be wrong here, reading charts is not 100% accurate. We could go up tomorrow but it is very likely that we will revisit lower levels tomorrow or later this week.

Happy investing!

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