Hi friends! Welcome to this update analysis on Bitcoin! Let's get right to it! Looking at the four hour chart, you can see that after the rally on the 18th, BTC has created a bull flag consolidation. Price was able to surpass the 20 EMA (in blue), as well as the 50 EMA (in orange,) but it was unable to surpass the 78.6% retrace, at about 8686. Now, BTC is attempting to confirm the 50 EMA as support, but remaining above that level. With that said, if this bull flag breaks to the upside, and particularly if we surpass the 786, a sharp rally could ensue in BTC, which would be likely to cascade through the rest of the crypto space. In fact, you can see that the upside projection from the bull flag (black dotted trendline) could send BTC up to the top of the downtrend channel (in black.) Additionally, you can see that the top of this bull flag, surpasses the high on 3/16, so we technically have a higher high. So, we can see that there is some evidence that is beginning to develop, that supports a technical argument for a continuation to the upside, which would mark an end in the current sell-off.
However, the rally to 3/12 had a similar look, in which price quickly rallied above the 50 EMA, but it failed, and a continuation of the sell-ff ensued. This current move is a bit different, in the sense that we are now forming a bull flag, but we need to be cautious of a failure at the 50 EMA. With that being said, the best thing to do is wait for a breakout of the flag pattern. I know many people will say this seems obvious, but that's what analysis is all about. We identify patterns, we wait for the right setups, and then we trade them accordingly. Now that we have a bull flag, and trading action above the 20 and 50 EMAs, we have some technical evidence to support a continuation to the upside. That's not to say that a breakout to the upside will certainly happen. Bull flags, and every other formation in the world, fail on occasion. That's the nature of chart patterns, and it's why we don't typically trade such setups, until a confirmation breakout actually materializes. Therefore, if we see a breakout to the upside, combined with a rally above the 78.6% retrace, we can expect a test of the top of the downtrend channel (in black.) However, a failure of the bull flag, could send BTC to an even lower low than the one printed on the 18th. The odds are greater that we will see an upside breakout, than a downside breakout, but we it doesn't really matter. The percentage gain that could be acquired by trading the flag before the breakout is very small, and the increased risk is very high. In situations like this, where we've been in a continuous downtrend, and we see a quick reversal, it is very important to wait for bullish breakouts, so that you don't get destroyed by bullish patterns that fail.
On the MACD, we're still working over a bullish crossover, and we've crossed over the zero line, which is a technical buy signal. Volume is falling, confirming the consolidation pattern inside of the flag, so we now need to wait for the upside breakout, to confirm the bull flag. Good luck trading everyone!
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-Magic loves you-
-JD-
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Here is a zoomed out look at the chart, for your reference.
All the sheep conveniently forgetting this is the same fraud who called 6k? Il giv you one thing poop, you really know how to cover your bases so that you arent exposed to be as clueless as you actually are. Going forward my predictions are :
Poop does not talk about the 6k thing anymore. He is now bullish because BTC was bullish yesterday (standard hindsight trading). If it does not go to 6k again , np Poop has not mentioned it and it doesnt matter. If it does go to 6k, poop comes out and says 'no one does it like him'. Post some trades why dont you, oh wait, you probably cant because you dont trade your own highsight analysis.
What you lack in trading know-how, you definitely make up for in manipulation skills... hence how you manage to maintain a massive following of sheep who dont know any better.
bpwphoto
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@Jibs, Good TA's don't "call" things. They make targets based on the indicators. If the indicators change, the TA changes with them. Why is that so hard to understand?
UnknownUnicorn995743
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@Jibs, agreed some traders on this site get huge followings not because they are good, it's because they post OFTEN and are active...the guys from trading view need to work out their ranking algorithms...credit should be given to where it due
RockstarD12
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@Jibs, i agree its all bullshit. e.g. i can make a chart today and rocket and a green line going up on BTCSD. In X amount of years when it finally does go up, i shall return and claim my place as the kind of analysis. Kinda like nostradamous did back in the day. Make a prediction as vague as you can, let it be interpreted by people as they want, and history repeats itself and if it doesnt, theres a large probability that in time the initial prediction will come true.
yesterday shouting no one does it better than magic, here is the 6k. today, we are going to the moon. today if btc crashes and goes 6k, he is the best he predicted it, if it goes up, its ok he also predicted it, so either way he is the best. see the dilemma? its bs.
J1bsFx
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@gyphorz,
Exactly, guy has himself covered in all directions.
justforex
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@Jibs, Finally someone that agree's with me. This guy is a joke. He claims to be a millionaire too, trading what he is charting. TA at the level applied by most of the "pro's" on TV is just a presentation of over analyzed price. Your charting is how it should be Jibs. Arrogance in the market space gets cleaned out so fast and MPC is on a roller-coaster ride that will end. Everything that a new trader learns from MPC would need to be unlearnt before they became successful.
coindabbler
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@justforex, hit me up with someone worthy of learning from pls
justforex
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@coindabbler, read van tharp. his interviews with real traders making 10's of millions are real coaching. Read BWILC by Dirk Du Toit, a real trader that wrote a book that he didnt even publish with isbn number because he is humble and did not worry about fame and glory, a word pdf, he is the real deal millionare forex trader. Then after absorbing these outlooks and having tested things out your self you will look at this stuff while checking prices on the market and you will see why you most ppl just dont make money froom the junk you see here. TV is only good for some social banetr and charts that your broker platform doesnt offer. I need TV for several instruments I cant get charts on, so no disrespect to tv, great charting site, and I am gratefull for the free servivem much better than netdania! ..... but no respect for MPC at this time, he is not a market presence that will last until he cleans up his charts, his arrogance is dissipating though, nice to see, the market always topples top heavy proud traders (and analysts like mpc).
I would dabble in more than coin if i were you as well. Plenty great CFD's out there. dont limit your self.
Poop does not talk about the 6k thing anymore. He is now bullish because BTC was bullish yesterday (standard hindsight trading). If it does not go to 6k again , np Poop has not mentioned it and it doesnt matter. If it does go to 6k, poop comes out and says 'no one does it like him'. Post some trades why dont you, oh wait, you probably cant because you dont trade your own highsight analysis.
What you lack in trading know-how, you definitely make up for in manipulation skills... hence how you manage to maintain a massive following of sheep who dont know any better.