Technical outlook:
Bitcoin rallied through $39,500 levels over the last week, which was potential last wave within the triangle consolidation. We discussed this scenario last Thursday and that the bears could be back in control. The crypto has dropped in line with expectations and printed $33,000 lows today before pulling back. It is looking to break below $30,000 in the near term.
Bitcoin is seen to be trading at around $32,800 levels at this point in writing and is expected to continue drifting lower towards $28,000 levels before resuming its rally. Immediate price support is also seen at $28,500, while resistance comes in around $39,500 levels respectively. Also note that fibonacci 0.618 retracement of entire rally between $3,950 and $65,000 is seen passing through sub $27,000 levels.
Bitcoin bulls might remain poised to take control back if prices drop through $27,000/28,5000 levels. If successful, we can expect the rally to push higher towards $65,000 and beyond in the next few weeks.
Trading plan:
Book profits in short positions @ 32,700-800.
Buy again @ 28,500, stop @ 25,000 target is open.
Good luck!
