Bitcoin increased significantly in the last days and has managed to breakout from the descending pitchfork's body. Price is pressuring the outside sliding parallel line (sl) of the descending pitchfork, personally, I believe that a valid breakout will confirm a larger rebound on the Daily chart. We'll have a great buying opportunity if the rate will come back to test and retest the sliding line (sl) and the third warning line (wl3) of the former ascending pitchfork. Technically, it is somehow expected to increase after the false breakdown below the median line (ml) of the descending pitchfork and after the failure to close near this dynamic support. It could reach the 14000 level again in the upcoming weeks. 

Bitcoin turned to the upside on the H4 chart but is premature to talk about a larger rebound. Price dropped much below the median line (ML) of the ascending pitchfork and below the 61.8% retracement level, but failed to reach the lower median line (lml) of the minor descending pitchfork, so the rebound is natural. The perspective remains bearish as long as the rate is trading within the descending pitchfork's body. A larger rebound could be announced after a valid breakout above the sliding parallel line (sl), however, a confirmation will come only after the rate will escape from the descending pitchfork's body.

Bitcoin increased after the false breakdown through the confluence area formed between the median line (ML) of the descending pitchfork with the upper median line of the minor ascending pitchfork. Technically, it should increase at least till will reach the first warning line (wl1) of the ascending pitchfork and the 50% Fibonacci line (descending dotted line). Personally, I believe that only a valid breakout above the mentioned dynamic resistance levels will signal a larger increase. However, Bitcoin could increase towards the 20000 psychological level only if it will make a valid breakout above the sliding parallel line (sl) of the descending pitchfork.

 

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Bitcoin was almost to start another leg higher but has failed to stay above the first warning line (WL1) of the minor ascending pitchfork, has also failed to reach the upper median line (uml) of the minor descending pitchfork, so the current drop is natural. A valid breakdown below the median line (ml) of the minor descending pitchfork could signal a drop towards the lower median line (lml). However, support can be found at the median line (ML) of the ascending pitchfork and at the 61.8% retracement level, so only a breakdown below these levels will confirm a drop towards the 8000, 7000 psychological levels. A larger rebound will be confirmed only if the rate will increase and will make a valid breakout from the minor descending pitchfork.

Ethereum plunged in the last hours and now is located in the seller's territory again. It should drop further in the upcoming days after the failure to close above the 150% line and most important above or near the confluence area formed by the median line (ml) with the warning line (wl1). Technically, a drop towards the 340 level is favored on the short term, where it could find strong support again.

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