Good morning traders. Price has been heading up as expected for another attempt at a higher high, however we still have heavy supply through $8400. As we can see, price is near the top of the HVNs. If price can get on top of these HVNs, then they should act as support. What is worth noting this time around is that the orderbooks are showing stronger nearby bids than asks for the first time.
We have been watching multiple possible patterns play out for a while now and at this time I am leaning toward the descending wedge and/or ascending triangle. This latter pattern is noted with the dashed red lines. It isn't an easy 3 or 5 wave count, but in either case for those patterns I expect to see price target the TR's resistance before dropping back a bit and then pushing through. As I have continued to do this past week or two, I have noted the possible targets as price moves: pattern targets in red, daily pivots in blue, and weekly pivots in green, as well as supply zones in grey.
Generally, I expect price to at least meet the TR target which, in this case, would have price reaching the EQ of the supply zone at around $10,000-$10,100. This price level seems to be the general consensus among cryptotwitter as well (or at least among those who believe price will rise a bit further), but it is most certainly not guaranteed. I remain cautious as we have not seen a blow off top, although price is moving parabolically. This means that we could actually see price push even higher than $10,000. If we get that kind of move, then traders need to be extremely cautious as price will suddenly turn and drop hard when top blows off, trapping and/or liquidating late FOMO longs. Levels of confluence among possible targets are of stronger interest to me than the targets sitting by themselves. If price is rejected at the top of the TR and then falls below the recent $7467.10 swing low, we may see this play out as a double top. Just remember that the double top pattern doesn't confirm until price closes below the swing low between the two peaks.
The 4H Stoch RSI is overbought at this time and appears to be rounding down, so we may see a bit of a pullback before price continues its advance. In that case, if price intends to continue higher, then I would expect the 21 EMA currently sitting at $7850 to ultimately provide support. The daily RSI is bullish at 66 and Stoch RSI remains oversold at this time, but is curling up, suggesting that we may see this final leg up that I have been expecting.
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
You can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
We have been watching multiple possible patterns play out for a while now and at this time I am leaning toward the descending wedge and/or ascending triangle. This latter pattern is noted with the dashed red lines. It isn't an easy 3 or 5 wave count, but in either case for those patterns I expect to see price target the TR's resistance before dropping back a bit and then pushing through. As I have continued to do this past week or two, I have noted the possible targets as price moves: pattern targets in red, daily pivots in blue, and weekly pivots in green, as well as supply zones in grey.
Generally, I expect price to at least meet the TR target which, in this case, would have price reaching the EQ of the supply zone at around $10,000-$10,100. This price level seems to be the general consensus among cryptotwitter as well (or at least among those who believe price will rise a bit further), but it is most certainly not guaranteed. I remain cautious as we have not seen a blow off top, although price is moving parabolically. This means that we could actually see price push even higher than $10,000. If we get that kind of move, then traders need to be extremely cautious as price will suddenly turn and drop hard when top blows off, trapping and/or liquidating late FOMO longs. Levels of confluence among possible targets are of stronger interest to me than the targets sitting by themselves. If price is rejected at the top of the TR and then falls below the recent $7467.10 swing low, we may see this play out as a double top. Just remember that the double top pattern doesn't confirm until price closes below the swing low between the two peaks.
The 4H Stoch RSI is overbought at this time and appears to be rounding down, so we may see a bit of a pullback before price continues its advance. In that case, if price intends to continue higher, then I would expect the 21 EMA currently sitting at $7850 to ultimately provide support. The daily RSI is bullish at 66 and Stoch RSI remains oversold at this time, but is curling up, suggesting that we may see this final leg up that I have been expecting.
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
You can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
