BTC/USD Daily bearish. *Seeing that we're only halfway through the weekend, if BTC loses support at the 50/50 uptrend line from April 2017 ($29250), it wouldn't be surprising to see it at $24k by Sunday night/Monday morning. Inflation produced a higher high (.60% increase in CPI growth from April-May compared to March-April) at .83% FFR which essentially means that the Fed is probably going to have to ramp up rate increases in their meeting next week (06/14-06/15) by more than 50bp (75bp likely) to stay true to their "do whatever it takes to ring in inflation" promise. This is bearish for equities and cryptos as we may start to see more significant layoffs and less capital being in the markets.* Recommended ratio: 10% BTC, 90% Cash. Price is currently trending down at $28500 but is still technically retesting the 50/50 uptrend line from April 2017 at $29250 as support; if it loses this support it will likely test $24180 minor support. Volume remains Moderate and is on track to favor sellers for a fifth consecutive session if it can close today in the red. Parabolic SAR flips bullish at the 50 MA ($32600), this margin is neutral at the moment. RSI is currently trending down at 39.67 but is still technically retesting 42.41 support; if it loses this support level the next support won't be until 25.60. Stochastic remains bearish and is currently testing 29.70 support. MACD remains bullish and is currently trending down at -674, if it breaks below -766 (which would coincide with -868 minor support) then it would be a bearish crossover. ADX is currently forming a trough at 24 as Price continues to fall, this is mildly bearish; if Price breaks down further and ADX goes up, this would be very bearish. If Price is able to defend support at the 50/50 trendline from April 2017 ($29250) then it will likely retest $30507 resistance. However, if Price breaks down and loses support here, it will likely crash to $24180 minor support before potentially falling lower. Mental Stop Loss: (two consecutive closes above) $29431.
Note
Follow up: BTC hit $24k by Monday morning
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.