Last week, Bitcoin rallied from around 12.5K to over 17K over the weekend. However, after a double top around 17K, price has been retreating sharply.
- In the 4H chart, price is falling back below the 200- 100- and 50-period simple moving averages.
- Price is also breaking below a rising support.
- Furthermore, the RSI has fallen below 40, which indicates loss of bullish momentum.
- This dip can extend to 13470, where we should monitor for support.
- If a subsequent rally fails to break above 16K, we should strap up for further correction.
- Bitcoin is essentially in a consolidation mode, and should be considered Neutral-Bullish.
- Price action might be bearish in the short-term, within the context of a consolidation or bearish correction.
- But I would still consider Bitcoin bullish as long as it holds above 10K, which will be a key psychological pivot.