Bitcoin analysis for May 16, 2019

BTC has been trading sideways at the price of $7.895. Our bearish scenario is still valid and we expect more downside.

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According to the H4 time-frame, we found that bullish momentum continues with decreasing, which is sign that buying looks risky. BTC is in extended run phase and potential pullback is expected. We found the bearish divergence on the slow Stochastic oscillator, which is another sign of the potential pullback incoming. The ADX is going down indicating potential weakness on BTC. Additionally, there is the fake breakout of the high $8.153. Watch for selling opportunities.

Upward references:

Swing high – $8.153

Downward:

Swing low – $7.590

Previous high became support - $7.413

Swing low - $6.834

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