The sudden rise witnessed by Bitcoin yesterday from $7,190 to above $7,250 signaled signs of recovery for the entire crypto market, but the leading cryptocurrency failed to maintain the rally on the upside trend.
This made crypto trader FilbFilb on Trading View averred that Bitcoin failed in its attempted Adam and Eve meme reversal, adding that the on-balance volume breakdown, and a fall below $6,800 could be seen in two days.
Filb Filb noted that Bitcoin’s Point of Control on the chart has been lost, and it is now acting as resistance.
The crypto trader said Bitcoin, after failing to anchor above $7,250 yesterday, is now searching for a solid position below $7K, and a further drive downward toward the buying zone could be witnessed and Bitcoin could have to go below $6,800 in the next two day “which is also the 78.6% fib level”.
Image Credit: TradingView
Trader Filb Filb noted that the present trend exhibited by Bitcoin is similar to the rally that drove Bitcoin to $3k, and it is playing out equally, but additional confirmation is required.
Filb Filb, however, maintained that a bullish rebound may be witnessed after reaching this point, nevertheless, “if the bounce is too weak to break the diagonal resistance,” a lower price below $6,800 may be expected.
He concluded that he remains bullish pre halving, “its just a matter of trying to micromanage the mid-term optimal entry.”
BTC Falls Below Critical Support after Failed Recovery Attempt
Another cryptocurrency trader with pseudo name MagicPoopCannon has said Bitcoin fractal is filled with mixed signal but its overall trend is bearish, adding that it is below critical support zone.
The trader noted that according to the chart he captioned there are two conflicting formations, the head and shoulder pattern (in red) and the falling wedge pattern (in black).
Image Credit: TradingView
Trader MagicPoopCannon said BTC has been struggling around the extremely critical level since the past couple of weeks with three critical features which include: the 61.8% fib retrace from $3150 to $13800, 50 week moving average, and the neckline of the head and shoulder pattern.
The trader noted that BTC has been flipping below and above these three indicators, but the fact that Gaussian Channel is red and falling, and BTC is underneath the line, signifies that there is more downward call for Bitcoin than upward move.
