Bitcoin to $4,000?

Once again Bitcoin failed to breakout from the downtrend channel. It may still be possible for it to breakout to the upside, but unfortunately the momentum isn't there, with the MACD contracting before it even breaks above the 0 line.

At this point the more likely scenario is a visit to the bottom of the channel, at around $4,000. Watch for possible support at around $8,800. If this holds, it should be very positive. Price action above $10,700 would likewise be positive, although it will need to be strong to get over resistance at above $11,300.

Taking a wider view, Bitcoin is in a downtrend. The trend is always your friend.