Oh the market psychogology chart.. I love you so much. Please take a look at 'This is a suckers rally' and the ''Disbelief' phase.
Prepare for impact this is going to bounce hard.
The daily on the 1 Day is almost reset and at the same level before the 6.4k rally started.
Don't chicken out now and enjoy the ride.
Please guys remember that these markets are pure psychological. The last 2 weeks have been full of uncertainty. THAT IS NORMAL. You should know that markets move in CYCLES. These CYCLES consist of phases. We went through a phase of people shorting people going long. It was a big mess and this reflects into the behavior of the market. DISBELIEF.
But let me tell you what. This phase is about to end. It is time to unite both bulls and bears. One final selloff rocket us into the moon. People think that we are going to fail here but you will be surprised that we are going to bounce from this dip. HUH? WOW WE BULL.. Oh yes bull we are. You will find out soon.
Know that the media already have their articles written about 'BITCOIN BACK AT 10K'. Know that the gates of the next bubble are almost open. New people will enter the market. These people do not care about our stupid support or resistance level. They are here cause they want to do one thing: Buy bitcoin and make money. This effect will grow and grow, attracting more and more people. We are about to enter the phase of 'magical' hope and recovery. And soon everyone will be optimistic to invest.
Please do not forget what these bubbles are. It is a reflection of human emotion.
Now to some technicals: In my other analysis I have told you that in a bull trend the 38/40 level of the 4HR RSI is almost never breached. I have told you this would only be the case when we would engage into an extreme selloff. Now. .As you can see this level has now been breached. It's time to dive one last time to send us out of this mess. When something like this happens you will want to look at the 4HR reaching oversold in terms of a bounce. I think it will happen very quick.
Looking at the stoch RSI you can see that it is almost at the bottom. It's back to the level where this rally began. It has been 'cleansed'. We need one more dip to reset everything and fuel up for the incoming rally.
Here is a rough cut on how I think the wedge could further play out. Downside target would be at 9k
Looking at the current situation. Bitcoin is trying to penetrate the EMA.
We must always be on the lookout for a breakout earlier. There is not alot of room to move in the 4HR rsi.
I'm going to bed and placing some long orders at the 93xx range just incase. We'll continue analysis tommorow.
Now don't do anything crazy just yet. We want the price to start making signs of exiting the wedge. We're gonna play this safe.
Here is what I hope to see soon.
Almost there guys! :-)
The first breakout is here. Now.. It's possible that we fall down and test wedge support. I'm awaiting that. Once that is confirmed prepare the spacesuits. It's about to get legendary
Finnaly I think bitcoin is setting up to test the wedge support. Head and shoulders is forming. If the bottom holds im enteringa long position from here.
But then this happend..
Bear trap! The h&s inmediatly got bought. This tells me what the bears are currently super weak and that our reversal has already been set in motion.
Lets take a look at the map overview.
We have been launched out of the falling wedge and our now forming an ascending triangle. There is a newly formed mini downtrend channel that will be our first objective to break. This pattern is capable of doing that.
To be safe I think 9390 would be a nice play to enter long and catch the breakout.
Finnaly our stoch daily RSI crossed bullish!
That's it for today. I'm pretty sure will ascend to 10k soon! Goodluck everyone.
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