Bitcoin found some support around $7700 mid-week and appears to be on a rebound as it drove above $8500 during the Friday (3/16) session.
Some are already calling this a price bottom. To me, the market still looks bearish in the medium-term while bullish in the very short-term (over the past couple of sessions).
- The 1H chart shows us that while price did indeed come off a bottom, there is still a lot of strong resistance around $8800-$9000
- Falling trendline, broke support as resistance, the 100- and 200-hour simple moving averages, previous support pivots, are reasons we should monitor this area for resistance, especially if the RSI pushes above 70.
- A break above $9000 might be needed to stabilize BTC/USD.
- Otherwise, if price holds under $9000 within a couple of sessions, the market will likely lose confidence and sell BTC/USD off back towards $8000, and the $7700 low, with the prospect of continuing the prevailing downtrend even lower.
- As noted in the previous update, BTC/USD now has the $6000 market in sight.