BTC continues to correct and respects MA21 resistance at period 4H. We will probably wait for the trend to reverse. But where could the nearest correction leg go? We do not expect a sale similar to the last one. Conversely, testing the main support zone can be a long-term bullish purchase signal.
BTC respected MA21 and creates short-term declining lows. It seems that we are heading downwards from the short-term sideway structure. Until we exceed the mentioned indicator, it is possible that we will create another correction leg. However, he will probably not be as strong as the first. The nearest support is located at levels of $ 44,000 and $ 41,000.
The BTC correction is not yet complete
The $ 44,000 level is 38.2% of the retracement of the entire growing trend from $ 29,000 to $ 53,000. Subsequently, we will monitor support at the level of 50% retracement of $ 41,000. The $ 41,000 level divides the previous accumulation zone from growing trend. The MA21 for the weekly period is $ 42,320, so the main support zone is between $ 41,000 and this MA21.
If the price were able to bounce off the $ 41,000 to $ 42,000 zone, it would be great opportunity for additional purchase at the local minimum. On the other hand, if the price did not succeed, we would fall back into accumulation and wait a little longer for the growing trend. Volumes for sale, trading candles still exceed. Thus, the reversal of the trend is not confirmed.