Once again the clouds acted perfectly well on both side, in rejecting, respectively
a downside breakout attempt around 60’000 and more recently an upside breakout
In addition, price action on the top of the clouds, triggered a “BEARISH ENGULFING”
Ongoing downtrend channel still in place and clouds area should be seen as a barometer
for further development.
Indeed, IMPLICATIONS of a clear breakout :
1) UPSIDE : 63’000/63’500 (former congestion top) would open the door for —> a retest of ATH
2) DOWNSIDE : 61’500/61’000 ( MBB & KS cluster and clouds support zone ) would put the focus on —> former
low @ 59’500 ahead of lower levels; 56’525 is the 38.2% Fib retracement of the 39’590-66’994 rally and 55’147 is
the Kijun-Sen or base line !
Price action switched from an uptrend channel to an ongoing downtrend channel and this change has been
triggered by a “doji” which has been confirmed straight away by a long black candle ( bearish engulfing ).
A failure to hold above 62’763 would directly put the focus on the 62’000 area, ahead 61’600 and 61’000 (the latter
level being the bottom of the H1 clouds support zone.
In order to neutralise this ongoing downside move price action, the BTCUSD should quickly recover above 63’000 and hold sustainably on a closing basis; this would temporary neutralise the current ongoing selling pressure.
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