Bitcoin Today: Head and Shoulders?

Price
BTC has gone deeper into a supportive zone, approaching the last support level 7300 on the way to 7000, which was formed in July. The price did reacted to the level, so there is a chance to stay in the 7300 – 7600 zone. Otherwise, a breakthrough below 7300 will lead price to the 7000. Also, a breakthrough below 7300 will draw a "Head and Shoulders" pattern with the head at 8500 and left shoulder starting on July 17. This figure is well-known among traders and gets noticed frequently, so, such movement will add to the bearish scenario. From the other side, a bounce from 7300 will fit in the correction to the 6000 – 8500 rally scenario. For now, amid weekends, we expect the price to stay inside the lateral channel, probably 7300 – 7600.

Today forecast
Trading in the 7300 – 7600 zone. Possible breakdown to the 7000.

Main events of the week

• Friday
  - John McAfee’s ‘unhackable’ Bitcoin wallet got hacked
  - Mt Gox creditors are preparing to claim for return the funds in Bitcoins.
  
• Thursday
  - Korean Crypto Exchange Bithumb Suspends Opening New Virtual Accounts
  - Several vulnerabilities were detected in Monero(XMR) code
  
• Wednesday
  - South Korea to End Tax Breaks for Crypto Exchanges
  - Japanese Bitcoin Exchanges Planning Tighten Trading Restrictions
  
• Tuesday
  - Net profit of Bitmain for the first quarter exceeded $ 1 billion
  - Sky Mining CEO disappeared, $ 35 million disappeared along with him
  
• Monday
  - Google bans crypto-mining apps from Play Store
  - Vitalik Buterin: too much attention is focused on bitcoin-ETF