Bitcoin Between Support and Resistance

Today Bitcoin has reached the support at $5900, that has been rejected cleanly so far. The support is based on 127.2% Fibonacci retracement level applied to the last corrective wave up.

On the other hand, Fibonacci applied to the previous corrective wave up shows, that the resistance is also at 127.2% Fibonacci, that is $6800 area, which was rejected cleanly as well.

The overall trend remains bearish, although after a clean rejection of the support price could establish yet another correction to the upside, and could reach the $6800 resistance area. But at the same time consolidation could take place and BTC/USD might reach $5800 area before correcting upwards.

If Bitcoin will break below the $5800 area, this could result in stronger decline towards $5k or even $4k.

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