Bitcoin and the Fibonacci retracements
The rally that started on 3/13/20 has held all of the key retracements on the rally up to 10,359. The first setback on 3/30/20 held 38.2%, the second one held 23.6% on 4/16/20 and the third one traded below 23.6% of the rally, but never closed below it on 5/11/20. This has now taken the market up to 61.8% back to the 6/26/19 high, this level is 10,050. (The 6/26/19 high was also 61.8% back to the all-time high). They did spike above 10.050 but never closed above it, all the other days stayed below this level for the recent six week trading range. Now because the current high has hit 61.8% the "61.8% rule" tells us we should look for the market to go 61.8% the other way, so the long term target from this area is 6400. As always we will watch all the retracements on any break and the first level to watch is 23.6% of the move, this is 8840, if this is all they can break the market remains very strong and you should look for a new high for the move. With a solid close below 8840 they new area to watch for support is 38.2% at 7910. For the upside longer term it will have to get a solid close above 10,050 to break out of the trading range and give us an upside target area of the 11,580 major Gann square and 78.6% at 11,725.
You should also watch the major Gann squares for support and resistance, they are the yellow horizontal lines on the chart.