Type:
Bearish Drop
Key Levels:
Resistance: 22420
Pivot: 20695
Intermediate Support: 19390
Support: 18830
Preferred Case:
On the H4, with price moving below an ichimoku indicator, we have a bearish bias that price will drop from pivot at 20695 where the pullback resistance and 23.6% fibonacci retracement are to the 1st support at 18830 where the swing low support and -61.8% fibonacci expansion are. Take note of intermediate support at 19390 where the 127.2% fibonacci extension and swing low support are.
Alternative Scenario:
Alternatively, price could break pivot structure and rise to 1st resistance at 22420 where the overlap resistance, 100% fibonacci projection and 50% fibonacci retracement are.
Fundamentals:
After Fed Chair Powell reiterated that the Fed will tighten policy to bring down inflation , we have a bearish view on Bitcoin .
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.