Here is a clear view of the patterns I'm watching with BTCUSD.
The main macro pattern is this ascending channel, drawn with a diagonal grey rectangle. Touch points on support and resistance are highlighted with red and green arrows. They are perfectly parallel, which increases my confidence in the validity of that range.
We also have an established pattern of spending 7+ weeks chopping within a price range before a decisive breakout. These ranging chops are highlighted here with rectangles.
How long will the current range of 59K -$71K continue? And will it break out to the upside or downside?
Well, since the bottom of the bear market, these ranges have broken to the upside every time. That is most likely to continue.
However, in the case it breaks to the downside, the bottom of the channel support is now at $51K and rising.
In the more likely case of an upside break, the resistance is around $125K and rising.
The play here in my personal situation, as a long-term BTC hodler looking to add more when capital becomes available, is to set buy orders at the bottom of the range at $59-60K, and also at $52-53K in case it breaks out to the downside. And, if it breaks to the upside from here, to be ready to buy on the breakout, anticipating much higher prices.
Good luck and enjoy!
The main macro pattern is this ascending channel, drawn with a diagonal grey rectangle. Touch points on support and resistance are highlighted with red and green arrows. They are perfectly parallel, which increases my confidence in the validity of that range.
We also have an established pattern of spending 7+ weeks chopping within a price range before a decisive breakout. These ranging chops are highlighted here with rectangles.
How long will the current range of 59K -$71K continue? And will it break out to the upside or downside?
Well, since the bottom of the bear market, these ranges have broken to the upside every time. That is most likely to continue.
However, in the case it breaks to the downside, the bottom of the channel support is now at $51K and rising.
In the more likely case of an upside break, the resistance is around $125K and rising.
The play here in my personal situation, as a long-term BTC hodler looking to add more when capital becomes available, is to set buy orders at the bottom of the range at $59-60K, and also at $52-53K in case it breaks out to the downside. And, if it breaks to the upside from here, to be ready to buy on the breakout, anticipating much higher prices.
Good luck and enjoy!
Comment:
The wick to $56K went into my green "buy" range near the bottom support. It did not quite touch the support line. There has been a fast recovery to $63K, safely back into the previously highlighted range. At this point, I think it was a healthy sell off and buying opportunity, and my previous thesis remains unchanged.