The big thing to look at, as I have said many times before, is that as long as that 50 Day Moving Average line is moving and sloping up, we are decidedly in a bull market with occasional dips.
For now we have other indicators showing some slowdown in upward price movement.
MACD histogram still shows upward momentum, but the green line is currently dipping down showing slow down. Translation, short term slowdown in price action.
Stochastic has dipped from a very high level, showing that we were overbought, so another indicator of slowdown.
OBV dipped, same prognosis.
Volume is red, so mostly selling, also low volume, but NOT significant at this point.
Conclusion: We moved really fast to the upside. The higher the price moves above the 50 Day MA, the more of a chance of a slowdown or reverse move. The 50 can be considered the median price, right around where the average price should be, so if its too much higher or too much lower we can expect a reverse to that mean with waves above and below it. The slope of the 50 is the key. Keep watching that. I have no reason to think the trend is reversing to a bear yet. And I still think we will move higher by year end.
Personally, I think buyers and sellers are doing the same thing they did prior to the previous fork in August. People are positioning themselves to get their free coins of Bitcoin Gold and getting ready for segwit again. Remember the huge rally afterwards? It could well be more of the same.
I'd say $10,000 should take us very close to an end of the 5th wave up. It is significant from a market psychology point of view. It'll make all the news outlets. I'll continue to watch at that level, but I wouldn't be surprised if we saw a strong downward move at that juncture.
I'm a HODL and not a short at this point. Just kick back and watch.
May all your dreams come true.
For now we have other indicators showing some slowdown in upward price movement.
MACD histogram still shows upward momentum, but the green line is currently dipping down showing slow down. Translation, short term slowdown in price action.
Stochastic has dipped from a very high level, showing that we were overbought, so another indicator of slowdown.
OBV dipped, same prognosis.
Volume is red, so mostly selling, also low volume, but NOT significant at this point.
Conclusion: We moved really fast to the upside. The higher the price moves above the 50 Day MA, the more of a chance of a slowdown or reverse move. The 50 can be considered the median price, right around where the average price should be, so if its too much higher or too much lower we can expect a reverse to that mean with waves above and below it. The slope of the 50 is the key. Keep watching that. I have no reason to think the trend is reversing to a bear yet. And I still think we will move higher by year end.
Personally, I think buyers and sellers are doing the same thing they did prior to the previous fork in August. People are positioning themselves to get their free coins of Bitcoin Gold and getting ready for segwit again. Remember the huge rally afterwards? It could well be more of the same.
I'd say $10,000 should take us very close to an end of the 5th wave up. It is significant from a market psychology point of view. It'll make all the news outlets. I'll continue to watch at that level, but I wouldn't be surprised if we saw a strong downward move at that juncture.
I'm a HODL and not a short at this point. Just kick back and watch.
May all your dreams come true.
To be honest, it's a pattern. We start to go down and FUD starts to make it go lower. Then we roar back. I don't see a different pattern emerging. It's also the same pattern before a fork, and we have two coming... Bitcoingold and segwit.
Not short. Will Hodl. Getting popcorn to snack on and watch.