With Bitcoin experiencing further drops are we heading back to test ‘the bottom’! ie the area around the lower green trendline on the below chart. Heres a look at todays 1 day chart from btc-e.
Bitcoin has not held the lower purple dashed line but instead looks to be following red bearish lines down, quite steeply in fact. How far down might it be heading? will it get down to that green trendline somewhere around $176 ?
If I switch to log price scale there does look like an area of support before reaching those levels though, heres 1 day btc-e but on log scale this time.
The bullish channel I mentioned in my last bitcoin post didn’t last very long, neither the area of horizontal support. However red trendline which is mid point of large bear channel may provide some support plus round number $200 is where I’m thinking might be next support if price drops further.
Below that there is green trendline on top linear price chart at $176. From bullish point of view I don’t want to see that support fail.