Price decreased in the last days and has reached the 119.59 level and it could drop much deeper if the Bitcoin will continue to drop as well. It has managed to drop below a very important downside obstacle and now it could approach and reach another one.
Maybe a temporary rebound will be natural after the massive drop, but you should know that it could drop anytime again, so you should stay away for now and wait for other trading opportunities.
If you’ll read yesterday’s Bitcoin technical report you’ll notice that I’ve talked about a potential upside movement if the rate will respect my scenario.
Price has managed to drop below the 350% Fibonacci line of the former ascending pitchfork and below the 136.12 static support. The next downside target will be at the lower median line (lml) of the descending pitchfork.
I want to remind you that a false breakdown below the lower median line (lml) of a failure to reach it will signal a potentially significant upside movement. Personally, I would like to see a false breakdown below the lower median line followed by a failure to retest it before it will try to jump higher.
The perspective remains bearish on the Daily chart, so it is premature to talk about a potential upside movement right now.
Ethereum will drop like a rock if the Bitcoin will resume the bearish movement, so it remains to see where it will find a bottom again. Personally, I still believe that the crypto market will recover after this major crash, but the next upwards movement will be a slower one.