Good morning, traders. Many were scared off by yesterday evening's little drop. As we can see, price bounced just above the pivot closing above the 21 EMA once more. The short double bottom target, of the swing high denoted by the purple line/R1 pivot, remains at this time. The 4H Stoch RSI is nearing a bullish cross in oversold. RSI remains bullish at 56.8.
The ascending dotted channel suggests that once price closes above its EQ, we should then see it targeting the channel's resistance. If price breaks through that resistance, then we should see it targeting the R4 pivot, around $6270, based on the channel's height.
There is one more possibility -- that price has been printing a running contracting triangle as a pennant, which I will explain in greater detail during this morning's video. But what that means is that we could then expect to see a possible target of around $6800, at the top of the supply zone, based on the height of the flagpole leading up to that triangle/pennant. I know that such a suggestion hits the "outlandish" button for many traders, and I am not stating that we will definitely get there, but it is a possibility that's based on current price action so it can't be ignored. While it would violate the strongly-held emotional bias of the strength of $6000 as resistance which much of cryptotwitter holds dear, traders must consider that if enough accumulation has occurred, then it is possible for price to push through that level with more ease than expected. As such, traders would find it detrimental to ignore the level of likely FOMO that would ensue in such a situation as traders rush to get their orders in once they see $6000 falling instead of price being rejected as expected. This would follow the gold pattern that we have looked at before, and which I will discuss during this morning's video once more as well. It's up to you, as the analyst, to decide just how likely you think such a scenario is. I remain long at this time.
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
Remember, you can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
The ascending dotted channel suggests that once price closes above its EQ, we should then see it targeting the channel's resistance. If price breaks through that resistance, then we should see it targeting the R4 pivot, around $6270, based on the channel's height.
There is one more possibility -- that price has been printing a running contracting triangle as a pennant, which I will explain in greater detail during this morning's video. But what that means is that we could then expect to see a possible target of around $6800, at the top of the supply zone, based on the height of the flagpole leading up to that triangle/pennant. I know that such a suggestion hits the "outlandish" button for many traders, and I am not stating that we will definitely get there, but it is a possibility that's based on current price action so it can't be ignored. While it would violate the strongly-held emotional bias of the strength of $6000 as resistance which much of cryptotwitter holds dear, traders must consider that if enough accumulation has occurred, then it is possible for price to push through that level with more ease than expected. As such, traders would find it detrimental to ignore the level of likely FOMO that would ensue in such a situation as traders rush to get their orders in once they see $6000 falling instead of price being rejected as expected. This would follow the gold pattern that we have looked at before, and which I will discuss during this morning's video once more as well. It's up to you, as the analyst, to decide just how likely you think such a scenario is. I remain long at this time.
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
Remember, you can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
