BTC/USD has Dropped Enough - Is it Going to Bounce off Now? - FX Leaders News

BTC/USD has Dropped Enough – Is it Going to Bounce off Now?

Posted Wednesday, November 28, 2018 by
Arslan Butt • 1 min read

What’s up, traders.

Looks like, the BTC/USD traded mostly in line with our forecast Bitcoin Continues to Crash- Is BTC/USD Going After $5000? Bitcoin not only tested the $5,000 level, but also plunged below it. But the bearish momentum seems to halt for now.

All this began on the violation of the descending triangle pattern – the one we spoke about on November 19, which led BTC/USD towards $3,800. The lead cyrpto pair has been shoved into the oversold zone and at the same time, the pair has closed a doji pattern on the daily timeframe.

To me, it looks like a signal that the sellers are exhausted and bulls are ready for an opportunity to buy an oversold currency. So, here’s something we can expect. BTC/USD is holding above a significant support zone of $3,775 with a very high probability to reverse upward. On the upper side, BTC/USD is likely to go after $4,400 at first and then towards $5,000. Let me make it clear that, the bullish reversal is highly dependent on $3,775 support.

Good luck!

 

 

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About the author

Arslan Butt is our Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
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