After watching the charts for the past week (and with the caveat that given such a small sample size, this remains speculative), I am pleased to say Bitcoin has been painting a sequence of higher lows and higher highs over the past several days that may indicate a general return to a potentially bullish trend. Phew, I hope that is rich enough in caveats to save my butt later. 

Unfortunately, we saw a dip overnight back towards our exponential moving average (10,21,100). The exponential moving average is similar to a normal moving average, but it gives additional weighting to more recent prices in the calculation which keeps it a bit more reactive to recent market movements. In short, it's more recent.

What we're looking to see is a recovery to and past that thin, red line we just dipped to, and past, here (orange circle):

<center>![Recovery 1.png](https://steemitimages.com/DQmcJohMK7G4pFb8kMhCchm8Qg2221x1BmxLcKCasXJ9zzU/Recovery%201.png)</center>

<center>*Bit of a dip overnight, but it's already showing oversold...I suspect the trendline recovers.*</center>

I'm optimistic that we'll see it, but if one was waiting in cash you might want to consider waiting to confirm a trend resumption before making any further purchases of Bitcoin. If we do, there's potentially not much resistance until 12k or 13k.

Much like Bitcoin, Steem has just pierced (red box) an area of major support (blue line), but only slightly. We want to see a retaking of that 30000 Satoshi area as quickly as possible, which would drastically increase the likelihood of the near term price action being upward. I'm expecting this outcome, personally, but would wait to bet on it until I saw the market's next move.

<center>![Recovery 2.png](https://steemitimages.com/DQmeHWZf2sgEuEwhZtJdSgJAXg3U9EbJs2aqFTteqpcxZrD/Recovery%202.png)</center>

<center>*Note that these are 1 day candles, vs. Bitcoin's 15m candles above - 1d is far more predictive.*</center>

Again, if you're a potential buyer of Steem, wait to see if this support area is decisively recovered, lest you buy at an interim top. However, be ready, as I suspect Steem will follow Bitcoin up in the near future, either way.

As usual, this is not financial advice and merely my own exercise in reading tea leaves.

<center>[*Try SteemFollower today and get rewarded for every vote!*](https://steemfollower.com/?r=5490) </center><center>[See my explanation of SteemFollower here.](https://steemit.com/steem/@lexiconical/steemfollower-the-upvote-and-follower-exchange-that-isn-t-vote-4-vote-but-is-quite-effective)</center>

<center>[*Try SteemEngine and get rewarded for every follow or vote!*](https://steemengine.net/join?r=1983) </center>

<center>![PAL Logo.gif](https://steemitimages.com/DQmRSmRyg4MdRdiKsWTMbfyiAG673K1yP65MoUTbCXGp9Xi/PAL%20Logo.gif)</center>

<center>[Join us at the Minnow Support Project! (click me)](http://minnowsupportproject.org/)
[We also have a Radio Station! (click me)](http://mspwaves.com/home/listen/)
[...and a 10,000+ active user Discord Chat Server! (click me)](https://discordapp.com/channels/319885228464406528/331564766495506433)</center>

<center>*[Almost 80% of Steemians do not vote for witnesses, who secure the Steem blockchain! If you wish to make me your witness voting proxy, I will attempt to vote in Steem's best interest based on the information in my witness reports. You may set me as your proxy by clicking here and scrolling to the bottom of the Witness Voting page. Proxies are instantly revokable at any time, and witness voting does not use your voting power.](https://steemit.com/~witnesses)*</center>

<center>[![Proxy.png](https://steemitimages.com/DQmV7EukwPiajCok1zWTGUTY4oiWy5zFGTYhLqHrBuJAcUf/Proxy.png)](https://steemit.com/~witnesses)</center>

<center>[Join the Steemit Poker League! (@spl)](https://steemit.com/@spl)</center><center>[World's Largest Cyptocurrency Freeroll Poker Site, open only to Steemians!](https://www.lucksacks.com/)</center>

*Sources: Google*
*Copyright: Bittrex, Cryptowatch*