Bitcoin low week on week of bitcoin futures anniversary
Price has come down to test the 6-7k support level, potentially ready to bounce.
Price has made an inverse head and shoulders pattern into this zone.
The right shoulder bounced off the 62 fib retracement from the head.
The head occurred the week of December 15, the anniversary of the creation of bitcoin futures contracts (Price found its high around 20k and low of 3k the week of dec 15 2017 and 2018 respectively).
Volumes are low, indicating a potentially big move coming.
The cftc commitment of traders reports showed institutions to add to their longs and remove some shorts over the holidays. Still net short about 2 to 1, but the shift in positioning could indicate short term bullishness.
Looks like it could be a big year, the halvening is coming up in May and Facebook and Starbucks are planning on releasing their own digital currencies sometime in 2020.
The fear of wwIII and run up in gold may act as catalysts to get price moving very soon as well.
I expect price to come up to challenge resistance around the 10-11k levels. Potentially run further up to all time highs, or get rejected and fall to test the 3-4k support. But 10k is my next stop.
Price has made an inverse head and shoulders pattern into this zone.
The right shoulder bounced off the 62 fib retracement from the head.
The head occurred the week of December 15, the anniversary of the creation of bitcoin futures contracts (Price found its high around 20k and low of 3k the week of dec 15 2017 and 2018 respectively).
Volumes are low, indicating a potentially big move coming.
The cftc commitment of traders reports showed institutions to add to their longs and remove some shorts over the holidays. Still net short about 2 to 1, but the shift in positioning could indicate short term bullishness.
Looks like it could be a big year, the halvening is coming up in May and Facebook and Starbucks are planning on releasing their own digital currencies sometime in 2020.
The fear of wwIII and run up in gold may act as catalysts to get price moving very soon as well.
I expect price to come up to challenge resistance around the 10-11k levels. Potentially run further up to all time highs, or get rejected and fall to test the 3-4k support. But 10k is my next stop.
Comment:
Rejected hard at resistance, head and shoulders hit projected target. I have taken profits on longs and am now short.
Comment:
Hard bounce off the neckline, daily bullish engulfing on the 10th, all long again. I will be adding more if a breakout of this channel is confirmed.