Bitcoin bulls froze in panic when Bitcoin started a huge dive yesterday that later until today, starting from 9300 USD going all the way down to 7682 according data taken from BitStamp. There were a few negative news that could serve a catalyst for these market actions such as: Google bans crypto ads, Goldman Sachs bearish statements and the IMF regulation call.

Later today we could finally see a bounce in the price going up all the way to 8350 USD from the above mentioned bottom. Market sentiment still doesn’t seem to be positive even though fundamentally nothing changed with Bitcoin.

Currently there is still a relative old, although lower, trendline that is still intact. That would mean that we could still potentially dip to the 6000-7000 price range, but there is a chance that we form a temporary bottom here as there is a bullish hammer forming on the 1Day/3D views, but the weekly candle is still undecided.

According to BFXDATA.com there are more people betting on long positions currently. A possible explanation for this could be that a possible inverse H&S was forming on a short timeframe (1H) and investors are also waiting for an upside correction.

Either way, there is no definite answer currently to where the market is heading, but it might be possibly bearish. On the positive side, we are still way above the recent February low of ~6000 USD.