Overall I'm pretty bearish on BTC and expect a test of $10K before any up-ward movement. However I do like to TA both sides and highly recommend people to take up this practice.
There is a few expected outcomes if this Falling Wedge pattern playout like it should. We currently have support at the 0.786 Fib-Extension Level ($17597), if we test this level and get a bounce then we are expected to break out of the wedge giving us an expected target of 24K-25K (0.618 Fib-Extension Level). Here I do expect a retest of the 0.786 Fib-Extension due to the strong resistance of both the 100 and 50 day EMA before then breaking out to test future resistance.
Scenario 2 we the fail to hold the 0.786 Fib-Extension Level this will mean a test of the bottom trendline roughly at the 15-16k level before any upwards movement to breaking the wedge. Personally I agree with this Scenario 2 more than the former, even though we have the Fib-Extension support I do not believe this is strong enough to maintain a break out. We are more likely to have a bounce off this support level just to be rejected at the top trendline then on our way down to a key level of 16K~ where things we will get interesting.
There is a few expected outcomes if this Falling Wedge pattern playout like it should. We currently have support at the 0.786 Fib-Extension Level ($17597), if we test this level and get a bounce then we are expected to break out of the wedge giving us an expected target of 24K-25K (0.618 Fib-Extension Level). Here I do expect a retest of the 0.786 Fib-Extension due to the strong resistance of both the 100 and 50 day EMA before then breaking out to test future resistance.
Scenario 2 we the fail to hold the 0.786 Fib-Extension Level this will mean a test of the bottom trendline roughly at the 15-16k level before any upwards movement to breaking the wedge. Personally I agree with this Scenario 2 more than the former, even though we have the Fib-Extension support I do not believe this is strong enough to maintain a break out. We are more likely to have a bounce off this support level just to be rejected at the top trendline then on our way down to a key level of 16K~ where things we will get interesting.
