BTCUSD Technical Analysis UPDATE @ $6170 - Feb 5th 2018

Update to: https://steemit.com/bitcoin/@jagr/btcusd-technical-analysis-update-usd6635-feb-5th-2018

So, for a short moment mid-day during the North American trading period we had bounced at the 78.6% fib retracement level. However, selling volume has pushed price action back down and broken even the 78.6% retracement level. Remember, we want support to be established first then we begin dollar cost averaging on the dips.

Additionally, this is another reason why we enter into small trades here and there, just in case the market keep going against your position. At least you have fiat left to go in on further drawdowns.

Alrite, so what are we looking at next

The next level of support I will be monitoring is around $5600. See the green line in image below. You will see a period of consolidation that had occurred at this level before.

For now, I'm standing on the sidelines with BTC. Again, I need to see established support either at the $6500 level or the $5600 level.

P.s. Honestly, after a break of the 78.6% fib retracement, if we begin trading under this, it's not looking too healthy for BTC.. I can be wrong about this since I fundamentally believe in BTC. But in technicals, I'm not too hopeful for a bull run just yet. Just my opinion.