Breakdown: Bitcoin Technicals Push Lower, Volatility Picks Up, Sentiment Turns ‘Extra Salty’

Bitcoin now falters once again as supports break down and price action falls below the 6800 support level. BTC now sees 6400 tested, and with volatility and fast-paced price action, BTC tests this level quickly before bouncing to try and regain some of the losses.

The big piece of information that should be taken away at this point is the entire track of BTC and how it pertains to Rogue* Waves as well. After BTC had it’s run to break the upper trend line and hold above it, there was an expectation that a brief break back below was coming. However, when that break occurred, several other items also followed.
First, the major supports were tested and broken, the 1/2 pivot area at 7200 was broken more easily than 7600. Then came the downdraft than saw 6800 tested and broken even faster. This brings about the point that not only has most of the previous leg up been retraced at this point, but the previous lows seem to be statistically more relevant now.
However, there is a bit of light, if only some. BTC has hit a hard wall with 6400 support at this level played a key role earlier this year. If the overall uptrend is to continue, this area – at most the 6k mark, should serve as long-term support. This will be tested throughout the next 24 hours.
BTC is currently a No Play – needs support and trend confirmation.
Futures Traders – trade the trend. The short-term trend is currently short(looking to find support – be aware of potential short-term change via pattern)