move of BAT token:
First of all I would like to recall the that were formed by the BAT token and the Bitcoin on the long term charts. If we take a look at the Basic attention token then on 16th of March I published an article where I revealed that BAT token has formed a complete pattarn after the successful formation of . And as per Fibonacci sequence I predicted that the BAT token should move up between $0.193 to $0.28. And we have witnessed that price action took from the potential reversal zone and produced more than 124% profit.
Harmonic move of Bitcoin:
On the other hand I also posted an article on the Bitcoin as well where the Bitcoin had formed a very big pattern on the monthly chart. And as per Fibnoacci sequence of I predicted that the BTC should move up between $8650 to $12000. And finally the price action took a powerful from the potential reversal zone and produced almost 50% profit. This profit ratio is almost less than have of the profit that the basic attention token has produced.
Falling pattern of BAT token:
Now if we switch to the weekly chart then we can see that the Basic attention token has formed a pattern. After hitting the support of the it has taken a very powerful bounce and reached up to the resistance. Here I have also placed the on the complete price action moving within this and we can see that below $0.17 there is very e weak interest of the traders therefore when the price action moved down than this level It moved up again. There is another positive indication that the is above the resistance of this pattern, therefore it will be easy for the priceline to break out the resistance of the .
Down channel of Bitcoin:
On the other hand the Bitcoin has also formed a on the weekly chart. And when the basic attention token was getting bounced from the support of at the same time the Bitcoin also got a strong bounce from the support of the channel and reached up to the resistance. I've also placed the on the complete price action within this channel and we can see that the traders interest is very low below $6800. Therefore when the price line moved below than this level it moved up again and reached at resistance. The on this chart is also above the channel resistance, therefore it will be easy for the priceline of Bitcoin to break out the resistance.
SMAs of BAT token on daily chart:
Now let's move to the and here 1st we will take a look at the basic attention token. Here I have paced the simple moving averages with the time period of 25, 50, 100 and 200 and we can see that the priceline has crossed up all these for simple moving averages. And now price action moving at the support of 200 . The 50 is moving up to form the golden cross with 100 then 200 SMAs . When the 50 will form the golden cross with 200 then many traders can be attracted to buy Basic attention. Because this golden cross between 50 and 200 SMAs is considered as a strong buying signal. Therefore after this golden cross we can expect more powerful move.
SMAs of bitcoin daily chart:
On the other hand if we watch the Bitcoin then after crossing up all the simple moving averages the Bitcoin went at very far distance from simple moving averages. And at this time the price action of BTC has the support of 25 . That is not as that much powerful support as the basic attention token has. Therefore there are chances that the BTC may breakdown the 25 and drop at the 200 support that is at $8000. However there is another possibility that the Bitcoin will turn from the 25 and move more up.
But we can have an idea that the moving averages on the BTC chart has formed more golden crosses than Basic attention token, so when the moving averages on BAT token chart will form the due golden cross then it can turn more than Bitcoin .
The exponential moving averages:
If we watch the exponential moving averages then the BAT token dropped between EMAs 10 and 21 and at this time it is likely to take it bounce and moving above the 10. On the other hand if we watch the BTC chart that the Bitcoin is still moving between 10 and 21 and facing the resistance 10. This is a significant because if price action of BTC will be broken down then Bitcoin can start move upto $8000 where we have 200 support. But if the Bitcoin will continue its sideways move between these two EMAs then soon the BAT token will ignore the Bitcoin’s sideways move and it will turn more as it is already getting bounced from 10 and 21.
Similar channels on daily chart:
On the the BAT token and the Bitcoin both have formed a similar up channels. Both currencies started this channel in March 2020. But at this time we can see that the Basic attention token is moving up after hitting at the support of the channel, but on the other hand the Bitcoin is still moving sideways with the support of earth channel. And again there is a possibility that if the Bitcoin will continue to move sideways with the support of the channel then Basic attention token can ignore this sideways move of the BTC . And it can reach up to the resistance of the channel very soon.
Let’s talk about the of BAT token:
Now I would like to show you different long-term levels on the weekly chart. As have seen that after the recent strong move the BAT token got bounced from the lowest support of 15 cents. Now the price action is stuck at the resistance of $0.20. This is not very powerful resistance as we can see that when in August 2019 the price action breakdown $0.20 then only 5 moved sideways then the BAT broke out this very easily then we have also witnessed in the month of December only four moved sideways and finally the price action broke out this again. And this is for the 3rd time we are having sideways at this . Therefore I am expecting that the priceline can break out this resistance very soon as it has been doing in the past. Then Basic attention token has next at $0.28. That is not broken out since after it has broken down this level in the month of July 2019. Once this will be broken out then we will have a final key level resistance at 43 cents. And once this ki level resistance will be broken out then the Baton can try to achieve the highest price ever in the history of basic attention token that can be up to $2 or beyond on long term.
Even though the Basic attention token is embracing the and signals of the Bitcoin . But after receiving the signals it is turning more than Bitcoin , even if the BTC moves sideways the BAT token is making upward moves. Therefore if the BTC will be not dropped then Basic attention token can produce more profit than Bitcoin on the short-term and on the midterm charts.
Note: This idea is education purpose only and not intended to be investment advice, please seek a duly licensed professional and do you own research before any investment.