Yup, for those that weren't aware (and I haven't seen a lot of charts on it, if any at all), there is a special chart pattern/formation that can tell us everything we need to know about Bitcoin if it ends up being valid.
The formation in question here is the Rounding Bottom Chart Formation.
This is something that I have not seen ANY one post about!
So, I'll show my findings below and you can comment on it and say what you think.
Bitcoin Long-Term Price Prediction Based on the Rounding Bottom Formation
What you see on the chart above is something called the ‘Fib wheel’. The Fib Wheel (courtesy of TradingView), was applied on this chart to get a better idea of where we should start the rounding bottom chart formation.
Why?
Because of the design of the Fib Wheel itself. It virtually plots out various rounding bottom formation lengths (based on fib levels).
These different lengths are designed for products of varying volatility and price fluctuation.
The Ultimate Theory
Everytime the price breaks into another channel, the Rounding Bottom Chart Formation (if it is indeed present), must be considered ‘restarted at that point.
Below are the marked restart points to help you out:
So, only twice thus far technically. hese times are represented by the transparent blue boxes in the photo above.
As you can see, the latest blue box can be detected at the start of the .786 ring level of our Fib Wheel.
What the Wheel / Rounding Bottom Formation Predicts
Based on the wheel is showing us here, the ‘low’ could potentially be at $2,921/Bitcoin.
This does not mean that it is an iron-clad guarantee. The price could 'dance around' this 2.9k mark. But, at the very least, assuming that the price remained in this channel without breaking south or north, it will eventually touch down somehwere around 2.9k.
The chart shows that this would occur at some point around the beginning of November. While this is not unreasonable by any means, the price is a significant ways away from that point currently:
If the price did touch this point, it would represent a 55.66% loss in price in a little under two months from this present point.
However, Bitcoin is no stranger to such drops, and there’s a chance that it could eventually backslide in price again as it tests the top of the rounding formation’s ‘range’ (what would essentially break the pattern altogether).
The two red boxes in the chart above show that the price has been duly rejected twice when it has attempted to break through to the next Fib pattern/layer.
Currently, the overhead resistance is at 6.9k.
More Information About Our Daily Resolution Rounding Bottom
So far we know a good amount of inforamtion, but we don’t know everything we need to know.
Here’s a list of some important things to remember/consider:
Fact #1 The ‘lip’ of the cup is at 10k.
Fact #2 The potential bottom is at 3k
Fact #3 The cup predicts that the lip may be surpassed at any point between April 11th 2019 and June 19th, 2019
Fact #4 The rounding bottom formation (as applied in this case), predicts that the ATH may be broken at any point between June 20th, 2019 and August 17th, 2019.
Here’s an illustration to reflect all of those ideas:
Conclusion
Whether you believe in the Rounding Bottom Chart Formation is entirely up to you.
At this point, it’s not a verified chart pattern. This piece was simply to provoke some thought and cause some individuals to consider alternative scenarios to the ones that they may have in their heads currently.
If you notice, this theory dictates a price action that actually matches many of the more popular theories about Bitcoin’s price movement that are out there at this point in time.
Thus, it seemed worthwhile to put this theory out there to see if we can actually put a ‘face to the name’, so to speak.
As always, good luck trading! This is definitely not financial advice of any sort and you should be making your own decisions about how you’d like to go about things.
Wow just WoW this is insanely accurate - from Sept 2018....wow
sr5
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See for a very similar chart I did a month ago!
UncannyDeduction
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Poukitoun
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Everyone pasting their crap and not contributing to this idea...anyway great info! I think there are good chances we will break the support area around 6k and continue lower towards 3k to 4K depending how fast we go down, I think BTC would want to test the 200MA on the weekly and then set a new trend. However the only time we tested the 200MA weekly was in 14-15 after many uncertainties within BTC. 2017 is mostly dominated by great news so there are good chances we have a set a bottom already. Time will tell :)
powderpc
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This analysis would be more useful if you backtested it on some historical price data for a sample of different assets (or even just 2014-2015 Bitcoin) showing some kind of predictive ability. Otherwise, it's a bit dubious.
A great reminder that of the many TA's that attempt to predict the market only a few get lucky in the lottery draw.
More luck here than anything else
DragonforceQueen
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@LeoKim, erm i think you need to re=read this? it was posted in Sept 2018?? hello he called the bottom and the timing of the top....literally geez dude
DragonforceQueen
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@Miaonfire, to the DOT
DragonforceQueen
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@Miaonfire, the Price ....seriously now come on get over yourself that isn't Luck.