Bitcoin trading is currently correcting upwards in the price chart but the technical indication is that more downside is on the cards. Regardless, the current mood of negativity does not promote buying behavior, but its increased intensity, over the weekend, implies that a decline bottom may be near.
Bitcoin Price Analysis
Time of analysis: 04h21 UTC
BTC-China 1-Hour Chart
From the analysis pages of xbt.social, earlier today:
The correction near yesterday’s lows continues. The last wave down had caused RSI divergence, thereby, forcing price back up. Now, on making a lower high, RSI has reverse diverged to the start of the wave. Ordinarily, this is a signal that we can expect downside continuation, but as the price action in the chart shows, the market often compounds the divergence until all upside momentum is exhausted before slowly edging to the precipice again.
The same may happen at the present juncture. The stochastics (top) have not yet grouped in overbought territory; MACD (bottom)