Hello Traders,
I hope everybody is doing good.
As Bitcoin made a significant move this month. I want to share with you my 4-hour view on this crypto.
With the recent move up last week, Bitcoin was able to break the trendline from end 2017. It managed to close above the trendline with a daily close. This was the first indication that more upside in bitcoin can be seen.
However, keep in mind that a trendline break is insignificant. Because trendlines are only useful when you combine them with other technical tools. You can see in the chart, that after it managed to break the trendline, it consolidated in a sideways pattern between 8492.7 peaks and 7810.2 low. In great confluence the 200 moving average and the 50-moving average where able cross and have now been showing to the upside, which is a good indication for more upside. Today, bitcoin managed to break above the resistance zone of 8492.7 now acting as new support, opening extension higher.
It has confirmed now in my view that it will trade to at least the 50% Fibonacci retracement. From that area, it should produce a pullback. Whether it has already the bottom at 5970 in place, needs to be seen. In this short-term view, I think the odds are for a move to at least 9100 areas before a pullback should occur.
Either the market now rallies in an impulsive manner to the upside without any pullback, like it did last week, or we could see a small pullback before the next leg higher should be seen. If bitcoin stays in the price above 7810.2 low, it ideally should extend higher. This view will be invalid once it breaks 7810.2.
Recap the 2 possibilities:
- First one is the black one (drawn on the chart) We could see a short-term pullback before the next leg higher can be seen.
- Or the second one (orange line) Bitcoin rallies to the upside without any significant correction. But at the 50% Fibonacci Retracement (9103.5) We should get a pullback in either case.
This view will be invalid once it breaks 7810.2 support.
I hope you enjoyed this view. In the coming days, I will present you my view von Bitcoin in the higher timeframes. So you can see what I am looking at.
Disclaimer: Trading is about going with the highest probability, nobody is 100% right and we need to protect ourself in case we are wrong. That is why we need to always use a stop-loss when trading. Trade with care. This my current view, and any view present is not a trading recommendation just personal view.
I hope everybody is doing good.
As Bitcoin made a significant move this month. I want to share with you my 4-hour view on this crypto.
With the recent move up last week, Bitcoin was able to break the trendline from end 2017. It managed to close above the trendline with a daily close. This was the first indication that more upside in bitcoin can be seen.
However, keep in mind that a trendline break is insignificant. Because trendlines are only useful when you combine them with other technical tools. You can see in the chart, that after it managed to break the trendline, it consolidated in a sideways pattern between 8492.7 peaks and 7810.2 low. In great confluence the 200 moving average and the 50-moving average where able cross and have now been showing to the upside, which is a good indication for more upside. Today, bitcoin managed to break above the resistance zone of 8492.7 now acting as new support, opening extension higher.
It has confirmed now in my view that it will trade to at least the 50% Fibonacci retracement. From that area, it should produce a pullback. Whether it has already the bottom at 5970 in place, needs to be seen. In this short-term view, I think the odds are for a move to at least 9100 areas before a pullback should occur.
Either the market now rallies in an impulsive manner to the upside without any pullback, like it did last week, or we could see a small pullback before the next leg higher should be seen. If bitcoin stays in the price above 7810.2 low, it ideally should extend higher. This view will be invalid once it breaks 7810.2.
Recap the 2 possibilities:
- First one is the black one (drawn on the chart) We could see a short-term pullback before the next leg higher can be seen.
- Or the second one (orange line) Bitcoin rallies to the upside without any significant correction. But at the 50% Fibonacci Retracement (9103.5) We should get a pullback in either case.
This view will be invalid once it breaks 7810.2 support.
I hope you enjoyed this view. In the coming days, I will present you my view von Bitcoin in the higher timeframes. So you can see what I am looking at.
Disclaimer: Trading is about going with the highest probability, nobody is 100% right and we need to protect ourself in case we are wrong. That is why we need to always use a stop-loss when trading. Trade with care. This my current view, and any view present is not a trading recommendation just personal view.
Comment:
Okay guys, as you can see bitcoin played out the second scenario. A nice fast rally without any significant pullback. Now it needs to be seen whether it makes another push higher, or started already the correction I mentioned.
Comment:
Target Hit :)
