The end of November is approaching and the situation has changed little since last week. In the case of $BTC, it began on Monday with a downward movement, but the $15.5k zone was consolidated as support, generating a rebound that leaves a weekly result close to +1%.
At the moment the situation remains unchanged, $15.5k is the low to be considered as short-term support and lower highs are being set which are forming a descending triangle. This figure is formed very often after pronounced movements like the one that occurred 2 weeks ago. Although they do not always break through the support zone, if such a break occurs with a move with volume, it could create a bearish pennant formation that could trigger another bearish impulse.
As for the rest of the market, the dominance of BTC remains in a very similar situation, with a slight rebound in search of a new test of the 39% support zone.
Despite the low volatility of BTC’s dominance over the last week, we have seen some tokens that have generated a good result, such as $CRV, the @Curve token that is approaching the weekly close with a result of +33 %.
With this weekly movement, $CRV consolidates the macro support zone of $0.50-$0.60, leaving a bullish divergence in the RSI that can generate the creation of a short-term bullish trend, as long as this support is not broken.
Another token that also catches my attention is $BNB, Binance’s native token accumulates a weekly result of +13% and presents a more bullish structure than $BTC.
In the 1d chart we can see how the support of $220 has been in force since the beginning of 2021 and after the last test in June of this year, it has created a sequence of rising lows that at the moment set the resistance zone at $360.
This structure usually occurs in accumulation or consolidation phases, as seems to be the case after the rebound from support. If we focus on how the price can evolve in the short term, we have to take the 1h chart reference.
As we can see, the current zone is a short-term resistance zone ($300-$320) and a slight bearish divergence is forming in the RSI. Therefore, there could be a rejection movement from this zone in the coming days.
This resistance is the area to end this downtrend, with a high that exceeds the previous high, but as long as this does not happen, the bearish rejection is more likely to occur.
In the event that this downward movement occurs, the first short-term support zone is at $250, although $275 could also stop the downward movement.
In the event that this bearish movement occurs, the first short-term support zone is found at $250, although $275 could also stop the bearish movement.
Finally, remember that nothing discussed in our articles can be considered as investment advice. Everyone must do their own analysis and develop their own trading strategy. The BELOBABA team only shows our analysis and investment tools, and how they help us in our operations when making decisions.