BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
Bitcoin is pretty slow right now. We're all aware. Why is this happening?
Because you're all waiting for the same thing. Everyone is speculating on where it's going to go, and there's no consensus for either. The volume of money going in either direction has shunted quite a bit to represent the divide here.
You've got people already in it that won't spend a penny more until they see signs of life and people that aren't yet in it until they're sure it wont break down any lower.

That's usually the story when we see consolidation go on for so long and volume ramping down. A lot of this is to do with people being far more fearful of risk of catastrophic loss than they are hopeful for incredible takeoff.

Anyhow, I drew out some resistance lines that graze the tops of successive peaks from their starting point (light blue). My advice would be to use these as milestones to cross and watch what happens to the price if it comes above it. Usually, if it crosses above the nearest resistance but does not bounce on it as it corrects down some, that resistance hasn't evolved into a support area . It is to say that a lower bottom will be sought out.

If it does, however, cross over the top and does so in an exceeding fashion, you can gauge the trend of that line to be the next minimum support in the future. It will almost always have some interaction there until violated again before falling down.


The exact opposite is true for the support lines tracing to successive 'bottoms' from the line's point of origin. In this case, if the price falls beneath the supports, it will be adopted as the resistance trend line for any future price movement moving upward after falling beneath that line (dark red).

If in the future, say Late November/Early December, you find that the price is crawling back up while beneath the last support line, then the moment in which it finally crosses upward and over that support line is the very moment you can expect incredible volume to steepen that upward climb.
This is because people usually seek a percentage as their prospective gains, and as the price moves higher, you need an exponential climb upward to continue getting that require percentage of return for the next guy coming in to invest.
I've noticed that with just about all charts where it depicts a that threshold being crossed with massive volume .
People have a tendency to herd and with herds come independent return requirements and you get that momentum following spikes in volume .

All things considered, I don't think this next event of major activity is going to take us higher. I could easily see volume opening up again but propagating the price about some average-just with more volatility around that flat point; and subsequently knocking the confinement "loose" to slide down beneath $9,000.

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