Price: ~$11,000
24HR:
After opening & closing fully inside the cloud yesterday, BTC was unable to maintain cloud support for a consecutive day. Now that price is below cloud again, cloud remains strong resistance. This was an important area outlined in yesterday's update.
The Tenkan & Kijun have both flattened for the time being, indicating no new high’s or low’s are being made. Further, as long as price remains beneath them, they will remain resistances as well.
12HR:
There is a plausible head & shoulders setting up on the 12 hour view; volume will be the tell here. Typically in an H&S setup there is strong volume on the left shoulder & head, with diminished volume & price breakdown on the right shoulder. If completed, the 125 daily EMA & 1.618 fib will be retested again.
Prognosis:
A trip to the 125 EMA & 1.618 fib is possible if price is unable to get back in the daily cloud soon. While these have been strong supports to this point (6 tests), continued tapping on them without upward momentum can only happen so many times before eventually breaking down. In the event of breakdown, a retest of the local bottom (~$9K) is on the table, and 200 EMA & 1 fib if necessary.
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