Let's look at the facts. 2014 BTC retraced 85%. From $20K to $3120 on Coinbase we have a 84.4% retracement. Everyone is looking how we broke the first triangle, had a around $350 in 2014 then dropped to around $200. If you look closer the pattern was consolidation still above the base in 2018, vs. a price break down. There was less liquidity in 2014 and less interest in Bitcoin probably making it easier to break very strong supports that we saw in 2018. We see in # 6-9 consolidation and convergence to the end of the triangle/pennant followed by a break down into capitulation. We have now created an ADAM and EVE pattern and will approach the downtrend again. BTC needs to close with a higher high to make a W reversal structure. We want to see a test of the downtrend still or a retracement without making a new low ($3500-3700) where BTC can try and walk sideways out of the downtrend. Of course if we hit the downtrend and push lower we expect to retest lows and potentially move down to $2800 and low as $1870.
Given interest, fundamentals and this I believe we are seeing a bottom here. If you want to have daily market updates and trading opportunities please PM me to find out more info about Surge Trading Group or email me at Surgetradinggroup@gmail.com. We help educate new and advanced traders about the crypto markets as well as find trading opportunities (for education purposes).
Happy trading all. This bear will end soon enough. Those who have weathered it, congratulations. We are in for quite the adventure these next couple years.
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