Let’s move on to Bitcoin analysis. The market is in a very sharp downtrend, and we can take advantage of this move to look for short opportunities.
1-Hour Timeframe
As you can see on the 1-hour chart, Bitcoin’s trend is clearly bearish, and yesterday, with the break of 72,996, the next bearish leg officially started.
The RSI oscillator is hovering near the oversold zone and has already found support around the 30 level multiple times. A move of RSI into oversold territory is a strong momentum trigger for short positions.
If you already have an open position, an RSI move into oversold could push your trade into strong profit. However, if you haven’t taken profits yet, I strongly recommend doing so—this bearish wave has already extended quite a lot, and the market could enter a corrective phase at any time.
At the moment, we don’t have a new trigger for opening additional short positions. We need to wait for the market to build more structure before the next short trigger forms.
For long positions, it’s still far too early to consider them. The market is currently bearish, and conditions are not suitable for longs.
If this bearish leg continues, the next support level to watch is 67,735, where Bitcoin could potentially show a reaction.
