Magic 8 Ball, Will BTC Pump? "The Crypto Gods Say YES!" BITCOIN!
What's good my pets? Welcome to this update analysis on the one and only big mac daddy of crypto, B T mother effin C! Let's get right to it! Looking at the four hour chart, you can see that after losing the 20 and 50 EMAs yesterday, Bitcoin was able to rally back above them, regaining the 78.6% retrace in the process. Interestingly, on the candle prior to the current one, you can see that BTC reversed, back into that region, where the three aforementioned support/resistance levels are converging. Now, on the current candle, we're actually bouncing off of them again. So BTC is flirting with this level, as the market tries to determine if it's going to act as support or resistance. The fact that BTC was able to get above these levels, and then fall back below, and quickly regain them, suggests that they are likely to become supportive. Finding support here, would be a move that is inline with the completion of this head test formation (in purple) that we've been discussing over my last few BTC posts. Furthermore, you can see that the 20 and 50 EMAs are crisscrossing, as the 20 remains slightly above the 50. This is a technical nuance that shows us that the recent price action is beginning to reach a turning point, as the 20 EMA tries to hold above the 50.
Inside of the head test formation, there is a bit of triangulation taking place in the price action (red dotted trendlines.) So, if we see a breakout above the top red dotted trendline, that will more or less confirm that the 20 and 50 EMAs, and the 78.6% retrace are holding as support, and the top of the downtrend channel (in black) will be tested next. With that said, I was pretty displeased with BTC breaking down below these levels yesterday, because I think the technical implications of the chart, since the all time high, suggest that this pattern is likely to be fulfilled. Needless to say, I have an expectation that it will eventually come to fruition. I also really want that to happen, so I can show people why the inverse head and shoulders pattern (in green) has remained valid this entire time. For now, we've regained important immediate support, and we're poised to breakout above this red dotted triangulation, and head higher to test the top of the downtrend channel. From there, I'd like to see a strong breakout to the upside, which propels BTC into the blue neckline of the inverse head and shoulders pattern, somewhere around 11000.
I'm the master of the charts, the professor, the legend, the king, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-Magic loves you-
-JD-
Inside of the head test formation, there is a bit of triangulation taking place in the price action (red dotted trendlines.) So, if we see a breakout above the top red dotted trendline, that will more or less confirm that the 20 and 50 EMAs, and the 78.6% retrace are holding as support, and the top of the downtrend channel (in black) will be tested next. With that said, I was pretty displeased with BTC breaking down below these levels yesterday, because I think the technical implications of the chart, since the all time high, suggest that this pattern is likely to be fulfilled. Needless to say, I have an expectation that it will eventually come to fruition. I also really want that to happen, so I can show people why the inverse head and shoulders pattern (in green) has remained valid this entire time. For now, we've regained important immediate support, and we're poised to breakout above this red dotted triangulation, and head higher to test the top of the downtrend channel. From there, I'd like to see a strong breakout to the upside, which propels BTC into the blue neckline of the inverse head and shoulders pattern, somewhere around 11000.
I'm the master of the charts, the professor, the legend, the king, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-Magic loves you-
-JD-
Comment:
I just realized that a breakout above the red dotted triangle happened as I was posting this. haha
Comment:
Here's an overall view of my chart, for trendline reference.
Comment:
BTC has closed below the triangle formation.
Comment:
The update is here!
