CentralCrypto
BTC weekly close 2023.04.23
The Weekly Close bearish and more correction could be coming. Last week's candle found strong resistance at the 0.618 Fibonacci Fan Speed line (FiboFan created from ATH to last min.) and the candle closes w/ a bearish engulfment, loosing the Point Of Control of this bullish leg. The boost created in the March's 1st half, was stopped into FiboFan (diagonal lines of image 1) and missed its first target of 1,618, a very bearish sign as it lagged behind FiboFan itself, the bouncing line between the 2 ATH of 21 (28.6K) and a zone of VPVR as resistance. With this, we have a Value Area Low and fibo's ignition candle lines 0.618 and 0.5 (between 26k and 25.2k) as retest/support of this movement. 25.3K is also historical support to be tested (previous highs). On the other hand, we still having Stochastic Overbought and we have triple support at 27.1K: EMA8, EMA144 and the inner band of the Double Bollinger Band, which could mean that buyers can maintain this level if the bears do not decide to buy a fight this week. Pay special attention to the RSI, which didn't break the weakest Overbought line (70) but broke its first support of the year (the band above the BB of its average). The indicator had only threatened a retest in the upper band of the BB of its average in 2023 but without threatening a breakout. The retest of its main average (SMA21 in this setup) will give us the answer to which way we will go in the retests of Price Action averages.