The correction on bitcoin is taking longer than normal. This period is still very short compared to a correction/ a bear market in the global market. So, where is the bottom?
At this moment, BTC/USD on Bitstamp is trying to break the support of the falling wedge. If the support would break, then there is a chance we land on the $ 6k which also converges with the daily 300 MA. The green rectangle represents a potential buying zone just abouve the $ 6k.
The RSI is an indicator which many technical analysists use. As of now, the daily RSI is 27.8 which is in the oversold area. In the image below, the RSI indicator is zoomed in. Many crashes bounce at the 27 to 28 RSI (where we are now, blue rectangle). Some bigger crashes brought BTC/USD down to the RSI 22 area (black rectangle).
Edited part:
Disclaimer: This is not financial advise.
I just want to give my humble opinion on some products by doing technical analysis. There may be some minor and/or major flaws. Nobody is perfect and I'm willing to learn from my mistakes through your opinions. Thank you.
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https://steemit.com/cryptocurrency/@bo3ia/risk-management-in-cryptocurrency-and-stocks
Image source: https://www.tradingview.com/