Bitcoin players are facing an interesting dilemma the next fews days, follow historical cycles or be realistic and look at supply and demand. July is largely seen as a period of rebound for BTC if we are to look at charts. This however may be dampened by the Mt. Gox bankruptcy story which could flush the market with supply for the crypto. Trustees in charge of the unwinding process indicate it is about to start paying out users, 10 years after a series of heists involving 650,000 to 950,000 of the crypto.
Resistance
- 66508 – Daily Consolidation Low / High
- 65139 – 50D Moving Average
- 63832 – Monday’s High
Support
- 62444 – Intraday Consolidation High / Low
- 60621 – Intraday Consolidation Floor
- 58327 – Low for June
BTCUSD has come-off the trigger of its weekly scale double top over the weekend clearing the consolidation zone built from Tuesday last week. Monday’s bozu candle will be facing daily averages looking to cross lower just on top of prices, while intraday we have another double top forming at the 4H scale. With intraday stochastics heading lower from overbought areas our bias for now will be to look for shorts once the pattern is triggered, preferably seeing a bearish engulfing as we push under 62,444. Our objective here will be to look for prices to ease down towards the 58327 weekly double top trigger. Given the possibility of supply coming in we will be holding off from buying for now.
