BTC's Ongoing Battle

Crypto Compass 54

“Once all struggle is grasped, miracles are possible.” - Mao Zedong

• We have seen a difficult 30-day period after decreasing 12% in the previous month, reaching the present $25.8k level. Unstable environment, with the Risk Signal at its peak and momentum remaining somewhat bearish.

• We predict a volatile week; additional volatility may be implied as we await today's Binance response to releasing crucial inflation statistics later this week. The direction is unknown.

Figure 1: Speedometers with Altcoin Signal, Risk Signal, Directional Momentum and BTC Onchain Fundamentals.

• Yesterday’s weekly close of the price below the $26k mark has raised concerns as could potentially signal a further decline. BTC starts the week with a fall of 3% and trades below the last low on the daily chart at $25.1k.

• If a breakout happens, the decline may continue to the $24.5k-$25k area by the end of the week. With the RSI in an extremely oversold level, correction may be in the short-term, but as historical data has shown us, could lead to a rebound.

Figure 2: BTC price evolution with Cipher B, RSI and ATR indicators.