Even weaker than we thought

22. Mai 2023

Morning folks,

Last time we've discussed possible upside reaction on daily target and support area, and suggested, that BTC could try to take it in a shape of upside AB-CD pattern. Since we were not considering and are not considering right now any long positions due to our fundamental view on BTC. And upside bounce should be nice chance to sell at good price.

But now it seems that BTC even weaker than we thought and is not able to show even upside AB-CD action. On daily chart we see signs of bearish dynamic pressure and the grabber suggesting drop to new lows. Overall performance, as you could see hardly looks like bullish reversal. Price action is heavy.

So, we still do not consider any longs and suggest that downside action could take the shape of the butterfly. Nearest (but not last) downside target stands around 25.3K