Hit a LIKE to Support my ideas and leave a comment to let me know what you think!
The second Fibo shows that we are exactly in the middle of an important range between level 0.786 and 0.5. Level 0.786 matches with an important support/resistance level represented by the light blue thick horizontal line. I see support at 8500$ level, where Kumo becomes horizontal and the previous (and bigger) Fibo has its 0.5 Level.
What I consider more probable to happen is the following: Bitcoin going up towards the upper limit of the Kumo (area 9240$): breaking it, may prepare a run towards 9416$, otherwise we can assist to a bounce back: at first at the base line of Kumo and then we may aim to the support levels of second Fibo, at 8500$. Keep in mind that 8500$ is a strong resistance, so what happened the past days may be just the first attempt to break it downwards.
On the 4H I see some signs of possible retracement with a bearish RSI and the price at the upper Kumo level.
Volatility is knocking on the support, and if it will resist for a couple of days we will see an increase in volatility in within the next week.
What am I going to do? If Bitcoin breaks 9250$ area consistently (with volumes and candle body) I will be long If Bitcoin breaks 8900$ area consistently (with volumes and candle body) I will be short
Comment
⋅
Bitcoin is still ranging in the Kumo Cloud but volumes are really low on the 4H TimeFrame on the last 8 candles. Increase in volatility for the upcoming week (even I would not be surpised if it will happen in the weekend) due to volumes and ATR. So, I think that this is even more a no-trade zone, until the price will reach previous target I mentioned