Bitcoin id looking to break up and above the 0.7 FIB level which also has over hanging resistance coming from the descending channel, we wicked all the way up and above both these levels but have since come back down, what im looking for tonight on our daily close is a push up and close atleast above the 0.7 FIB! This opens the door and allows us a better chance at making a push to breakout of this descending channel, as for another level of resistance we will face is the 40k-40.7K zone, breaking above 40K and holding it is going to be a very bullish sign. Looking at our automated ABC pattern detector we are currently forming the C structure with a target of about 41.2K - 42.8K, if we can successfully complete this pattern we will be ending up in a very good spot above some major resistance levels. One thing that is crucial for PA going forward is that we need to break the current downtrend we are stuck in, that starts with all the breaks of resistances i was talking about but also making that C run complete and from there continuing to move up. A good way you can keep up with the current trend is looking at the RSI, being below the midline like we currently are confirms a downtrend, we need to break above the midline and hold above to see a confirmed uptrend come into play. Looking at our MACD we notice that we actually just got a bullish cross, now don't jump to conclusions too fast, we need this to confirm first, our MA's are tight together and as you guys know this allows for a quick reversal and bearish cross. What we want to see going forward is these MA's start to move apart creating space between eachother making it more difficult to trigger a bear cross, another important thing we want to watch is the histogram, we are currently on our first green bar which is a great sign but moving forward we need to see these green bars continue and we gotta see an increase day by day showing an increase in bullish momentum. Now the Wavetrend, we are looking very good here overall, we bottomed out in the buy zone and we seem to be reversing very nicely, our wave has crossed over the red crosses and is beginning to move to the upside, we have been trending down for quite awhile now and haven't seen a significant bullish wave so thats exactly what im looking for here. Keep in mind the wavetrend is a slow mover and rarely ever has jagged turns and moves, we see smooth transitions between waves, the one key level we need to break above to really confirm a strong bullish wave is the resistance level coming from the last peak from the 15th of January! Not financial advice just my opinion!
