Bitcoin – Is the Retreat Completed?

Bitcoin changed little today and looks undecided after the yesterday’s impressive rally. The rate has found strong support in the yesterday’s session and has bounce back. The question is now if the bulls will take the lead again and if will drive it towards fresh new highs in the upcoming period. Technically, you should know that the rate maintains a bullish perspective on the Daily chart.
However, the minor retreat was expected and it was natural after the amazing upside momentum. Right now will be better to stay away because we don’t have any trading opportunity on the Daily chart, but I hope that we’ll have one very soon.
Bitcoin showed a minor exhaustion when has failed to stay above the $6000, it could come to retest some resistance levels, a failure to breakout above these obstacles will signal a potential larger drop in the upcoming weeks.

You can see on the daily chart that the rate has found strong support at the median line (ml) of the minor descending pitchfork and now should approach and reach the upper median line (uml). It could be attracted by the confluence area formed between the upper median line (uml) with the first warning line (WL1) of the major ascending pitchfork. Remains to see how will react when will hit the confluence, a valid breakout will accelerate the bulllish momentum, while a rejection will send the rate tumbling towards the upper median line (UML).
A failure to make new high and to close above the $6180 could signal a major overbought and could show us that a broader drop could come in the upcoming weeks. Price could drop on the short term within the descending pitchfork’s body, a selling opportunity could appear from the upper median line (uml).