Bitcoin is slowly continuing it's recovery, and looks like it may have put in a Higher Low on the 4hr timeframe at yesterdays $76.2k retest (Monthly Open). The $76.2k level was respected as support on 3 consecutive candles yesterday, so from here bulls need to see a strong Higher High. This would mean seeing acceptance above the Prev Week High, but also above $78.5k where there is a level of supply. If BTC closes any 4hr candle below $76.2k (Monthly Open) then we can expect the next leg down to happen.
Bitcoin gave a V-shaped recovery yesterday with the news (again) that US/ Iran are close to a deal. Honestly, this really manipulates the markets and until there is confirmation of a deal from both sides, we really should keep an open mind. BTC has reclaimed $76.2k, which means it is back inside the previously choppy range, and is also now consolidating above $76.6k (Prev Week Low).
The resistance for BTC is just above at $77.4k (Weekly Open) which we already saw a rejection from on a retest last night. Clear $77.4k and $77.7k (Monday High) and BTC will probably go on to fill the $79.1k CME gap. However, for the reasons mentioned above, we have to be open to a full retracement of last night's move if negative news develops.
Bitcoin has finally broken the range with a move down, as news develops that the US could be about to launch fresh strikes on Iran. This has caused many key levels to be lost, including $76k (Monday Low) which we can see has given a bearish retest to start a move lower.
Bitcoin needs to reclaim $76.2k on the 4hr chart and until this happens, then we have to assume further downside. There is a 4hr S/R level at $73.7k, and also a daily level at $70.7k, which is a possibility.
Bitcoins price action this week continues to be the most difficult/ choppy that we have seen in a long time. Since the weekly open, every 4hr close has been within a 2% range!
BTC has once again rejected a test of the supply at $78k, as can be seen from the orange zone. This is a key barrier that needs to be taken out if we are to see a push towards $80k, and this will only happen with an increase in volume. Until this is broken, we cannot rule out another test in the mid-to- lower $76k region.