Bitcoin currently forming a rising wedge and showing strong hidden bearish divergence on the 4H MFI. If the larger formation is a broadening wedge, then we have already touched resistance twice and should be making a move towards our most recent trend line support which has been holding since 1 December. This is also a 20.75% drop from the 4 December high and coincides with a 138.2 - 161.8 fib extension which gives a target of $3000 and a buy zone between $2880 - $3080.
StochRSI is also oversold and a drop below the wedge support is also a drop below our median bollinger band on the 4H.
We're not ready for a sustained move to the upside just yet since there is still no volume and we'll probably only find it once we have tested the lower $3k area.
Good luck and happy trading!
Previous chart:
StochRSI is also oversold and a drop below the wedge support is also a drop below our median bollinger band on the 4H.
We're not ready for a sustained move to the upside just yet since there is still no volume and we'll probably only find it once we have tested the lower $3k area.
Good luck and happy trading!
Previous chart:
Comment:
Think I'll be swapping over to coinbase charts again. The premium on Bitfinex still remains while btcusdt on Binance has come back to parity with the other btcusd exchanges. Looking more like a bear flag from this perspective which suits my target which is based on the height of the flag pole on Bitfinex from the 4 December swing high and coincides with a 138.2 - 161.8 fib extension from the flag resistance.
Comment:
Hidden bullish divergence on the 1H. We should test wedge resistance first before dropping.
Comment:
Seems we're heading a bit lower before that divergence comes into play. We should have a small bounce followed by the main drop.
