12-Hour Analysis:
Big Picture: After the FOMC meeting, there was a very volatile session. Furthermore, a test of the upper resistance levels was made, which triggered immediate selling and pulled the price towards lower support levels in a matter of few minutes. Such a scenario was mentioned in prior reports, and furthermore the gradual upward push ended up developing a complex bearish divergence on lower time frames which signaled weakness and created a trigger for intra-day selling.
On the Upside in the previous session, the levels between 28,750 and 29,075 were challenged, and as expected, they limited Bitcoin’s further gain. This is a strong resistance area that buyers will have to work hard to break through. Until price breaks above this zone, the session’s upside will be limited to this range. Any display of strength over 29,075 will enable for a move higher, with initial aims of 29,350 level followed by 29,800, to 30,000 levels.
On the Downside breaking the 27,750 support level triggered a massive intra-day sell-off, sending the price lower into deeper supports at 26,950 and lower into 26,600. A strong reaction was observed precisely from the 26,600 mark, which pushed price back up. Furthermore, buyers were able to neutralize any candle closing below the 27,220 level, preserving this support level as well. The session’s initial supports are at 27,750, followed by 26,950 and 26,600. If the price falls below the 26,600 level, it will trigger another selling wave, aiming for the 26,200 level and potentially the breakout-based supports down.
