Bitcoin continued to gyrate lower this week and accelerated to as low as 35565 overnight. The move came with broad based risk-off selling in the US markets. Technically, the fall is seen as continuation of the decline from 48226, and outlook will stay bearish as long as 40014 resistance holds. Next near term target is 33000 low.
Structurally, rebound from 33000 to 48226 is seen as a three wave corrective pattern. The current stay below 55 day EMA is also a medium term bearish sign. Decline from 48226 is likely the third leg of the whole down trend from 68986 low. Current downside momentum doesn’t warrant a strong break of 33000 yet. But in that happens, bitcoin could easily falls through 30k handle to 61.8% projection of 68986 to 33000 from 48226 at 25986.
