Current price is finding small support of previous bottom of $38,310.
Further downside below this level will suggest the downtrend is not a retracement but signal a more sustained bearish sell off to the next target of 35K to 34K.
In the short term price action may see a slower rate of sell off or even a small rally as we are nearing the 200 MA support area.
If a rally does happen, look out for volume for confirmation of any potential reversal. In the lack of volume driving the rally, the price is unlikely to hold and may swiftly retrace downwards again.
Based on the RSI Bearish divergence analysis below, I believe this support level (or any rally) will not hold for long and that we are on track for 34-35k target.
Further downside below this level will suggest the downtrend is not a retracement but signal a more sustained bearish sell off to the next target of 35K to 34K.
In the short term price action may see a slower rate of sell off or even a small rally as we are nearing the 200 MA support area.
If a rally does happen, look out for volume for confirmation of any potential reversal. In the lack of volume driving the rally, the price is unlikely to hold and may swiftly retrace downwards again.
Based on the RSI Bearish divergence analysis below, I believe this support level (or any rally) will not hold for long and that we are on track for 34-35k target.