Tuesday March 12, 2019 7:26 PM
1 week 4 days ago
Bitcoin continues to coil tightly within its range-bound market as the bulls and bears fight it out to see which is most dominant. On the lower time frames (TF), bitcoin is managing to find support:Figure 1: BTC-USD, 2-Hour Candles, Low TF SupportThe zone outlined by the green line in Figure 1 represents local support that has kept the market afloat for the last week and a half. Late last night, we saw another test of this support level has failed to break it thus far. On a macro level, we are in a kind of no-man’s-land, following the bounce off macro support in the mid $3,000s:Figure 2: BTC-USD, Daily Candles, Macro Support RespectedThe blue zone outlined above shows the market respecting the support zone following the high volume rejection from the high established in the low $4,000s. Since we managed to establish support on the low TF and high TF market structures, it seems logical that the next move will be a test of supply in the red-dotted zone shown above. If we zoom out even further to the weekly candles, we can see clearly that this low TF range-bound market is nothing more than a weekly resistance test in an attempt to reclaim macro support:Figure 3: BTC-USD, Weekly Candles, Weekly Resistance TestFigure 3 shows a test of the weekly resistance level. So far, we have seen a few tests of the area but nothing that has managed to close above the level. If we can manage to get a weekly close above the level shown above, ...