In my previous update I hypothesized that the drop of last 31 August could have been a true breakout but at the same time i was leaning towards the shakeout theory, at this point considering what happened yesterday i have to remain moderately bullish for the upcoming days but there is a condition that must be met in order to move up to the first decent resistance, the VWAP at around $550.
This condition is to move above $500 soon, better this week, because with the weekend ahead i’m worried that there could be a new stall with a subsequent drop. Where will bitcoin found support in case of a furhter drop from here? Well the support for the second part of the month could be in the $420-$430 price zone, below the recent bottom done at ~$440; this possible scenario scary me a bit because moving below the previous bottom would have very bearish implications and i prefer to avoid complications.