BTC analysis – a growing trend loses strength, does a corrective leg come?
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BTC is still in growing trend, but the last maximum was close to the previous one. The scenario is still more likely that we will still have to wait for the $ 53,000 maximum to be broken. In the short term, the growing trend is losing momentum and it is possible that the price will go sideway and then corrected.
BTC weakens, although in the short term it still reaches higher local lows and highs. The nearest support is at $ 46,900 and the bullish target at $ 49,700. If the price re-creates a local maximum close to the previous one, the sideway structure will be confirmed, which can also represent a long-term maximum. In this scenario, it is possible that the correction would continue from the current price levels in the next correction leg. A similar structure was created in the first week of May.
BTC can go into correction again
On the other hand, the said correction must be maintained a support level of $ 41,000 to $ 42,000. This is the main support of the current growing trend. In the long run, this would be opportunity to buy. However, if the volumes change to the side of the bulls and increase, it is also possible to continue the growing trend with the mentioned target.
It is possible, but the graph does not confirm it yet. In the short term, therefore, we will watch especially the position of the next minimum and maximum. If they will volumes low and the price of the sideway, probably another corrective leg will arise. RSI it also identified a declining strength of the trend and a negative divergence was created.
