BITCOIN - Do We See a Bounce From $3,390-$3,400?
Hey!
After a fake-out below the Falling Wedge trendlines, the price has made a decent climb upwards. It touched exactly 27. January low point and made a little throwback from there.
The current throwback (movement downwards) guides us to the $3,400, which also matches with a trendline. This trendline has to work as a support level and we might even see a little bounce upwards from the trendline. Currently, not good signs from altcoins because they are on the minus side today but from a technical perspective, the price should take a small ride upwards.
Since 29. January, the price has made short-term higher highs and higher lows (not a significant sign because those higher highs and higher lows are made on a very short-term period). Those waves guide us above the trendlines and now I think we might see another wave from them.
Another wave criteria to the $3,500
- Trendlines act as resistances
- Several times tested $3,400 is a pretty good and strong price level
- A bit sloppy bullish chart pattern Inverted Head and Shoulders, where the right shoulder is $3,390-$3,400:
- Short-term higher highs and higher lows (at least some consistency from buyers)
The altcoins show some neg. signs but what gonna happen?
From a bearish perspective, the well-known sentence: the trend is your friend!
So the overall trend is down and we have also a bearish confirmation area, an area where we can be sure that the next leg down may come after we see a candle close on the certain level.
We have another Bear Flag on the BTC chart:
We get a first bearish confirmation after the candle close below the light-blue area. The light blue area is the latest short-term higher low and if the price breaks it and it makes new lower low then we have: a breakout from the bear flag, which is a bearish continuation chart pattern and the market structure has changed with new lower low printed on the chart, which is a sign that the short-term bullish momentum has ended.
Bearish confirmation comes after 1H candle close below $3,375!
To take any bullish action then we need a rejection confirmation from $3,390-$3,400. We can't just hope that this level holds the price and the price makes a direction change, no! To be bullish we need some good candlestick patterns or if it doesn't print any candlestick patterns then we need at least a high volume from buyers which will pump us a little bit higher from that level. Then we have still higher low and the market structure is healthy to make a short pump, at least to the $3,500 (hilarious, how small those price movements are, thank You low volume, thank You!) and definitely look what altcoins do, if they react nicely with the pump then this would be another bullish confirmation!
SUMMARY: Wait for a rejection from $3,390-$3,400, watch how those altcoins react IF the price got a rejection and also a candlestick pattern would be a nice sing plus a bit higher volume.
If the price falls lower with out of any rejection then a first bearish confirmation comes after new lower low which is below $3,375!
Please, do not forget to support my idea post by hitting the "LIKE button!
Thank You very much!
Have a nice day!
Cheers!
*This information is not a recommendation to buy or sell. It is to be used for educational purposes only!
Previous analysis:
After a fake-out below the Falling Wedge trendlines, the price has made a decent climb upwards. It touched exactly 27. January low point and made a little throwback from there.
The current throwback (movement downwards) guides us to the $3,400, which also matches with a trendline. This trendline has to work as a support level and we might even see a little bounce upwards from the trendline. Currently, not good signs from altcoins because they are on the minus side today but from a technical perspective, the price should take a small ride upwards.
Since 29. January, the price has made short-term higher highs and higher lows (not a significant sign because those higher highs and higher lows are made on a very short-term period). Those waves guide us above the trendlines and now I think we might see another wave from them.
Another wave criteria to the $3,500
- Trendlines act as resistances
- Several times tested $3,400 is a pretty good and strong price level
- A bit sloppy bullish chart pattern Inverted Head and Shoulders, where the right shoulder is $3,390-$3,400:
The altcoins show some neg. signs but what gonna happen?
From a bearish perspective, the well-known sentence: the trend is your friend!
So the overall trend is down and we have also a bearish confirmation area, an area where we can be sure that the next leg down may come after we see a candle close on the certain level.
We have another Bear Flag on the BTC chart:
Bearish confirmation comes after 1H candle close below $3,375!
To take any bullish action then we need a rejection confirmation from $3,390-$3,400. We can't just hope that this level holds the price and the price makes a direction change, no! To be bullish we need some good candlestick patterns or if it doesn't print any candlestick patterns then we need at least a high volume from buyers which will pump us a little bit higher from that level. Then we have still higher low and the market structure is healthy to make a short pump, at least to the $3,500 (hilarious, how small those price movements are, thank You low volume, thank You!) and definitely look what altcoins do, if they react nicely with the pump then this would be another bullish confirmation!
SUMMARY: Wait for a rejection from $3,390-$3,400, watch how those altcoins react IF the price got a rejection and also a candlestick pattern would be a nice sing plus a bit higher volume.
If the price falls lower with out of any rejection then a first bearish confirmation comes after new lower low which is below $3,375!
Please, do not forget to support my idea post by hitting the "LIKE button!
Thank You very much!
Have a nice day!
Cheers!
*This information is not a recommendation to buy or sell. It is to be used for educational purposes only!
Previous analysis:
Comment:
The price makes another attempt to capture the red line, the first target area $3,500.
Altcoins are great - from today's minus they have climbed into the plus side - which supports that move upwards, as I mentioned: "Watch altcoins and how do they react after the bounce from $3,390-$3,400". Currently, they react nicely and this run probably will guide us to the $3,500.
Looks solid ;)
All the best!
Altcoins are great - from today's minus they have climbed into the plus side - which supports that move upwards, as I mentioned: "Watch altcoins and how do they react after the bounce from $3,390-$3,400". Currently, they react nicely and this run probably will guide us to the $3,500.
Looks solid ;)
Comment:
NEW BTC Analysis:
Looks like we got a bounce exactly from the mentioned level!
Altcoins have been a pretty stable, nothing significant.
Cheers!