Hi guys,
The recent rally for BTC has not felt much like a rally, so far. I have potentially good news, barring unforeseen news events or an influx of FUD, that BTC's fortunes maybe about to take a turn for the better.
First thing is to note my analysis is fairly straightforward. I will not get into complicated patters to explain this, as I feel they would be unnecessary.
Please note that I went back to 4 separate, most recent, occasions when the StochRSI for BTC was in the overbought level and broke lower and I trace the price impact on its way to being oversold on the daily chart.
On the most recent occasion, as opposed to the earlier declines, you note that there isn't a meaningful decline at all. Rather, BTC has been in a consolidation mode from the overbought to, now, the oversold StochRSI. That is very positive when we couple that with the Intraday Momentum, which you will note is on a bullish trajectory with a higher low, unlike all the earlier occasions when it had bearish momentum. The intraday is currently firmly in bullish territory. To bolster this fact, I bring your attention to the consolidation zone where you see higher highs and higher lows for BTC during this downswing, which only adds to the conviction that the impending upswing from the oversold StochRSI ought to be strong enough to take BTC past the $10k resistance and to the upcoming $11k and $12k. Why so?
For that, I look to the weekly chart. There you see the StochRSi in bullish mode and trending up and, by my count, at the current trajectory it could go higher for 4-5 weeks before it is at the point of being overbought that has brought previous corrections. Is it possible that it may not go as high or for as long? Yes, of course. However, that just means that traders would need to keep a handle on the target you set for yourself and adjust the stop losses accordingly.
The above is obviously not financial advice, and is for educational purposes. Please do your own research and help others see what you see and they may have missed.
I hope my analysis makes sense. Please let me know whether you guys are finding any value in my posts. Any thoughts and responses, especially your charts, would be appreciated.
Take care and enjoy the ride!
The recent rally for BTC has not felt much like a rally, so far. I have potentially good news, barring unforeseen news events or an influx of FUD, that BTC's fortunes maybe about to take a turn for the better.
First thing is to note my analysis is fairly straightforward. I will not get into complicated patters to explain this, as I feel they would be unnecessary.
Please note that I went back to 4 separate, most recent, occasions when the StochRSI for BTC was in the overbought level and broke lower and I trace the price impact on its way to being oversold on the daily chart.
On the most recent occasion, as opposed to the earlier declines, you note that there isn't a meaningful decline at all. Rather, BTC has been in a consolidation mode from the overbought to, now, the oversold StochRSI. That is very positive when we couple that with the Intraday Momentum, which you will note is on a bullish trajectory with a higher low, unlike all the earlier occasions when it had bearish momentum. The intraday is currently firmly in bullish territory. To bolster this fact, I bring your attention to the consolidation zone where you see higher highs and higher lows for BTC during this downswing, which only adds to the conviction that the impending upswing from the oversold StochRSI ought to be strong enough to take BTC past the $10k resistance and to the upcoming $11k and $12k. Why so?
For that, I look to the weekly chart. There you see the StochRSi in bullish mode and trending up and, by my count, at the current trajectory it could go higher for 4-5 weeks before it is at the point of being overbought that has brought previous corrections. Is it possible that it may not go as high or for as long? Yes, of course. However, that just means that traders would need to keep a handle on the target you set for yourself and adjust the stop losses accordingly.
The above is obviously not financial advice, and is for educational purposes. Please do your own research and help others see what you see and they may have missed.
I hope my analysis makes sense. Please let me know whether you guys are finding any value in my posts. Any thoughts and responses, especially your charts, would be appreciated.
Take care and enjoy the ride!