FX.co ★ BTC update for May 23,.2022 - Potential for bigger drop

Technical analysis:

BTC has been trading upside in the background and I see potential for drop due to extreme condition. Upper parallel line is on the test, which is sign for potential ldownside rotation. The mid term is still bearish.

Trading recommendation:

Due to the test of the upside trend-line of the upside channel, I see potential for drop towards lower references.

Watch for potential selling opportunities on the intraday rallies or upside exhaustion with the downside objectives at $29.615 and $28.750.

Stochastic oscillator is showing overbought condition and bear divergence on the slower line, which is potential for the downside rotation.

Resistance is set at the price of $30.700