$BTCUSD – Price and Volume Contraction On Weekly Chart

BTCUSD (Bitcoin / USD) – Price and Volume Contraction On Weekly Chart Continue to Reflect Bearishness

Bitcoin (BTCUSD) posted a substantial gain of of +5.38% for the week, successfully reclaiming three of its key moving averages during week (10, 20, and 50-day moving averages).

BTCUSD’s Bearish Pennant pattern is violated but with price consolidation and volume contraction remaining in its weekly chart, a longer term Bearish Flag channel is now morphed out, prompting the risk of a a further accelerated sell off in near term remains.

The level of support to watch for BTCUSD this week is revised up to $18,800, a level that undercuts the existing three key moving average that was recaptured.

Bull Case: Violation of existing Bearish Flag channel at $22,000.

Bear Case: Breakdown of $18,800, a level that undercuts the existing three key moving average that was recaptured. Next support level at $18,157.