BTC/USD fell under a mid term VWAP, at this point it is pretty obvious that bitcoin is entering in a bear market but i think it will not repeat the extreme drop seen in 2011 (as i stated in a previous update such a drop will mean a bottom around 18$).
Abundance of mined bitcoin are flooding the market and there is not enough supply to stay above the VWAP (now at 97$). A positive aspect is that at least the VWAP is not trending lower but it’s flat at the moment. The first decent support is at the first deviation line, around 60$ and i don’t expect the price to fall under it this July. Resistance in the short term is now 90$, that it was previous support in my last short term update. To conclude, i do not recommend to buy at the moment; eventually at 60$ if the market rebounce i might decide to open a long position, with extreme caution because grasping a falling knife is always a risky business.