The overnight session broke down as support at 85,000 failed, and price is still looking for a floor beneath bearishly stacked 15-minute EMAs. Having been capped by 87,000 since reclaiming 82,000 in late September, price has now broken down from Monday's range to retest the May 5th swing high and September's value area high. This is the battleground, where longs closing meet resting bids, while spot volumes remain depressed and the macro calendar stays quiet ahead of the FOMC minutes.
🟡 October 7, 9:54am ET
The overnight session broke down, and support at 85,000 failed.
Price is still looking for a floor, capped by bearishly stacked 15-minute EMAs.
Since price reclaimed 82,000 in late September, it has been capped by 87,000.
Over that stretch, it has seen only one 4-hour close back below 83,000.
Price has broken down from Monday's range and is now retesting the May 5th swing high as support.
Meanwhile, the 30-day rolling VWAP continues to climb toward the lower boundary of this local range.
Price has fallen below October's value area and is now looking for support at September's value area high.
Below, a single print and a naked point of control sit as potential magnets for price during this pullback.
Price is now at the battleground, where selling pressure from longs closing meets resting bids in the order book.
We will need to see buyer initiative here to raise the odds of a reversal. Otherwise, price looks poised to break down from this local range.
Spot volumes increased in September, but remain depressed relative to recent windows when crypto market cap surged.
The macro calendar is quiet, with the FOMC minutes today and key inflation reads next Wednesday, October 14.
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Since reclaiming 82,000 in late September, price has been capped by 87,000, with only one 4-hour close back below 83,000. Overnight, support at 85,000 failed, and price is still looking for a floor, capped by bearishly stacked 15-minute EMAs.
Price has broken down from Monday's range and fallen below October's value area, and is now retesting the May 5th swing high and September's value area high as support. The 30-day rolling VWAP continues to climb toward the lower boundary of this local range, while a single print and a naked point of control sit below as potential magnets.
Positioning makes this the battleground, where selling pressure from longs closing meets resting bids in the order book. Spot volumes rose in September but remain depressed relative to past surges, and the macro calendar is quiet until next week's inflation reads. Without buyer initiative here, price looks poised to break down from this local range.