Bitcoin fell by 20% to beneath $60,000 in June, its worst month-to-month efficiency because the identical month in 2022. If that quantity alone is not sufficient to fret bulls, the value chart, particularly the month-to-month candlestick, could possibly be.
The June candlestick, a charting software summarizing whole month’s worth motion right into a single visible, seems like a stable pink brick with just about no wicks, a transparent signal of full and “uninterrupted” bear dominance all through the month.
For anybody monitoring worth charts, that is about as bearish a sign as could be and a warning that extra losses might occur within the weeks forward.
A candlestick captures 4 information factors for any given interval: the place worth opened, the place it closed, how excessive it acquired, and the way low it fell.
The candle physique reveals the open-to-close transfer. The wicks – the skinny strains extending above and under the physique, representing excessive and low – present how far worth traveled in each instructions throughout that interval.
Huge wicks imply patrons and sellers have been combating exhausting. A protracted higher wick means sellers beat again a rally whereas a protracted decrease wick means patrons defended a selloff. Both means, wicks are proof of two-sided exercise.
The June candle
The June candle has none of that.