Method:
1. Draw best representative overall trend line (green)
2. Draw fibonacci retracement from local minimum to local maximum following the 2018 peak
-> I consider this local minimum as the start of the "new era" of crypto as during this time, many financial institutions have started to on-board to crypto
-> There is considerably more crypto awareness both in the political sphere and the mainstream after this point
3. Using the same local mins and max points from #2, draw fibonacci time zones
4. Turn on RSI , which shows the strength of market according to historical price
5. Turn on volume indicators, which shows strength of market according to historical volume
Thoughts:
- Downward volume pressure seems poised to overcome upward volume pressure.
- RSI shows bearish divergence.
- Fib time frame indicates a significant price movement.
- Resistance from June 2019 peak has been hit.
Prediction:
- Price will likely move downwards in the coming days, but will work to create a higher low, either at the .382 or the .236 fibonacci support.
- Crypto is heading up in the long term, however, this movement upwards will likely look different than the run-up of 2017-2018 as institutional money plays a larger role in this new era.
1. Draw best representative overall trend line (green)
2. Draw fibonacci retracement from local minimum to local maximum following the 2018 peak
-> I consider this local minimum as the start of the "new era" of crypto as during this time, many financial institutions have started to on-board to crypto
-> There is considerably more crypto awareness both in the political sphere and the mainstream after this point
3. Using the same local mins and max points from #2, draw fibonacci time zones
4. Turn on RSI , which shows the strength of market according to historical price
5. Turn on volume indicators, which shows strength of market according to historical volume
Thoughts:
- Downward volume pressure seems poised to overcome upward volume pressure.
- RSI shows bearish divergence.
- Fib time frame indicates a significant price movement.
- Resistance from June 2019 peak has been hit.
Prediction:
- Price will likely move downwards in the coming days, but will work to create a higher low, either at the .382 or the .236 fibonacci support.
- Crypto is heading up in the long term, however, this movement upwards will likely look different than the run-up of 2017-2018 as institutional money plays a larger role in this new era.