The move from $3800 to $4000 wasn´t natural.

A single $200 candle on January 9 took the cryptocurrency to the psychological number of $4000. During this past week, with slightly rising volume Bitcoin attempted to break upwards to test the $4200 resistance level and bouncing off of it immediately. What in normal market conditions can be seen as consolidation, in this current bear market where liquidity is low and bots have taken front seats to mandating price action, Bitcoin could not break resistance and retraced $150 within an hour. This, now typical, formation informally known as a Bart Simpson is the zeitgeist of the current market. Low volumes and very few human actors providing liquidity leave a fertile ground for trading bots to trigger moves to the upside and downside. In these cases, liquidity is provided by stop losses. Only a moderate push to the downside triggers bot action, which lead the price down to the nearest support.

BTC broke the ascending triangle bullish setup and is currently forming a bear flag, which if realised, could take prices to the previous support level of $3200 per coin.

Outlook is 70% bearish, 30% bullish. I got stopped when this breakdown initiated and I will remain out of the markets until reversal confirmation. I will set a buy stop loss to the upside in case the bullish scenario materializes, but I remain bear on the short term.