Bitcoin price barely holds above channel support

  • Bitcoin Confirms False Top Breakout

  • Technical indicators signal a worsening picture

  • The price is inside a parallel upward channel

International consortium of news organizations, developing transparency standards.

Bitcoin (BTC) retreats from its high of $ 14,100 reached on October 31

There are several bearish signals on the charts and the price could accelerate the fall in the event of a bearish breakout of the current parallel upward channel.

False top breakout

During the period from October 27 to October 31, Bitcoin formed an upward high, reaching a top at around $ 14,100. At the same time, the RSI formed significant signals of bearish divergence in the overbought territory.

Bitcoin price barely holds above channel support

Since then, quotes have been declining, marking lows at $ 13,220.

The RSI also advanced south with confirmation of a false top breakout, signaling a bearish reversal. At the same time, MACD began to decline, forming several smaller bars, and this is another negative signal.

Schedule BTC. Source: TradingView

Parallel uplink

The shorter-term (2-hour) charts show that the price is inside a parallel upward channel, and this dynamics looks like a corrective one. On Monday, November 2, Bitcoin bounced off the support line but pulled back from the middle of the channel and returned to the support line.

Bitcoin price barely holds above channel support

At the same time, BTC confirmed the descending resistance line for the third time..

RSI signals bullish divergence but remains below 50, while MACD is steadily declining, raising the likelihood of a bearish breakout.

Schedule BTC.

Bitcoin price barely holds above channel support

Source: TradingView

Wave analysis

In its previous bitcoin analysis we wrote that short-term analysis (blue) suggests that the market has just started wave C, which will complete the aforementioned wave 4 (orange).

The most likely level to complete this wave will be the $ 12,432- $ 12,562 range (between the 1.61 Fib level of the extension of the sub-wave A (blue) and the 0.382 Fib level of the wave 3 retracement (orange)).

After a bearish breakout of the channel, the price will move towards its target.

Schedule BTC. Source: TradingView


So, the signs of a bearish reversal and the presence of a parallel channel speak in favor of the fact that BTC is in the stage of correction..

The rate of decline may accelerate in the event of a bearish breakout of the parallel channel, which will bring quotes to the target levels indicated above.

Disclaimer: Trading cryptocurrencies carries a high level of risk and is not suitable for all investors. The opinions expressed in this forecast do not reflect


All information, contained on our website, published on principles of good faith and objectivity, and for informational purposes only. Reader independently bears full responsibility for any actions, committed by him on the basis of information, obtained from our website.

Share Article

By admin