As an update from
Yesterday's analysis of a re-test of $22.8K before testing $21K support, it looks like price instead found support from the 200 EMA at $21.4K, as opposed to the top of the volume support zone.
While I'm not someone who uses EMA's, instead prefer simple moving averages, there is none the less the golden cross of 50 & 200 EMAs due on Sunday (circled) which for many will be relevant, hence price has found support from this level it seems. By comparison to 2019, this golden cross is appearing at a similar time - 4 weeks after consolidation at the highs, as price remains above it.
Therefore while I still see a short-term rejection from local distribution zone of $23K, it seems more likely price would find support from this EMA golden cross around $21.4K, instead of targeting $20.9K support:
That said, there remains a lot of bullish factors on short and longer-term time-frames. While the 4hr is entering overbought territory - where it will either face rejection or continue even higher - the Weekly CMF has continued to increase in recent weeks highlighting the bullish buying pressure during the recent correction, while the Daily CMF is flipping back to bullish after turning bearish last week.
Either that or market is ready to break $25K in very near future. Reclaiming $23K levels would likely invalidate the $21K target, which would be an uber bullish scenario imo.
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