The good news? Bitcoin bears were rejected below the long term trend-line on Sunday and bulls managed to print a Bullish Engulfing candle Monday. The bad news? The engulfing is no where near as large as I would of hoped and volume is substantially below the four week average. Still, Sunday's first-of-quarter rejection is a positive sign and we may well get some follow through volume today as traders return to the markets after the Easter break:
Initial resistance is 7100, marked by the March 29 close at 7094. A daily close above there on above average volume would bolster the case for a more meaningful reversal towards 9000/9500.
Initial support is yesterday's low at 6770, followed by the April 1 low 6430. Below there, the 2018 low at 6000 would act like a magnet and hopefully attract significant buying interest for a more aggressive reversal.
Though I'm not yet convinced by the current reversal formation and I've been beaten and battered by this market all year, I remain cautiously optimistic as long as this 6000-6950 key support zone is in tact:
