goldbug1
Long

Bitcoin - Failed Low May Signal A Bullish Reversal

BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
After a couple weeks of being away visiting pops in Arizona, it has taken a few days to go over charts and get caught up to speed with the markets in general. I also had to de-program myself of Fox News which can be a detriment to how one trades and invest. So the Detox is finished, and after dusting off the charts and updating them, I am back in the swing of things. I want to say thank you to MarcPMarkets specifically for holding down the fort while I was out.

So where are we now? As I mentioned in my article the other day after returning from Phoenix, we had our first failed low since the beginning of April which resulted in a bullish rally to the 9600 level. Every short term rally since May resulted in a breakdown of the previous low pushing lower to the next support level , eventually resulting in a retest of the February low. There are numerous variables outside the standard BTCUSD' trading pair and the strength of the dollar that we noticed over a month ago can not be ignored. We posted in mid June the article about the BTCEUR' pair which has held the February low and is still in tact. Much of what is running the commodities market right now is the continued strengthening of the dollar. Whether it be gold', soybeans', cotton' or bitcoin', the dollar is fundamentally in the drivers seat right now. This is for another article, but I wanted to emphasize the point, so back to bitcoin'.

The current pullback resulted in a failed low and subsequent rally which provides some breathing air for longer term bulls. Well at least the hemorrhaging has stopped for the moment anyways. In addition to this failed low bitcoin' has also broken through the short and mid term bearish trend currently topping out between 6542 and 6748 which is the current extension zone of the failed low. Below 6000 there are support levels that extend into the low 3000's. This is still a possibility by all means, so we are not all in on buying here yet. This pattern does setup nicely for a rally to 8376 and a retest of the broader bearish resistance line. What the bulls really need is for this level and the trend line to be taken out. This would pave the path for a subsequent pullback and rally to the 10k level forming a higher high.

This does not come without caution. It is never over till it is over, and until we get a series of higher highs, and higher lows, we can not discount a capitulation back to the bears and retest the current low of 5735 or lower levels. Unlike many other coins, such as litecoin' and NEO' that have pulled back to their extreme support levels, bitcoin' has simply not. The extreme low for bitcoin' from a broader perspective is around the 4400-4500 level. This for one, proves that bitcoin' still remains the coin of choice for most longer term investors.

From a longer term perspective below, there are still two major longer term bullish trend lines that are still in tact. This does not imply that we have to retest them, at least yet. It does imply that the longer term bullish trend is still valid. We are still higher than we were 9 months ago, and very much higher than we were a year ago. I mention it all the time, and as another reminder, once the SEC' clears the way for ETF's and the custody issues is resolved (as is in the works) fresh money will again flow into the space and likely resume the bull market that has been so far removed from our thoughts.



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nice one sir
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Pops watching Fox? I know Fox can suck you in. They are really good at propaganda! Yeah most of them are Putin's admirers. Which I have no problem with though ha ha! I support anyone who is anti abortion. I joked with my female friend when she mentioned women's rights I said yes your right to have babies, that's you right. LOL she was shocked. But I told her this is how it is going down in the universe. And you stand no chance against the UNIVERSE, darling. But anyway they are still trying. So yes Fox has its good sides. But it is of course as good as Soviet propaganda channel of the old 80s. They can rename it to Pravda News.

Anyway, here is a template for one of your future posts: "Below 3000 there are support levels that extend into the low 000's. This is still a possibility by all means, so we are not all in on buying here yet!"

Glad you are back Goldie! ;)

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A very nice TA pro! Keep it up!
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There is no way around it, may it come in 1 week or 1 month, this bubble has to pop, too much international pressure on the ecosystem.

If you think that btc will recover now, you are just seeing what you want to see.

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ducksauce88 blacksun
@blacksun, lol you posted a chart where you are already wrong. you scrub. i dont think the bottom is in either but everyone on here is a joke.
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How is no one seeing the falling wedge on the weekly chart?!? If it isn't to follow the Wychoff Accumulation pattern then it forms a falling wedge on lower volume. Either way between now and September I don't see much happening. But as of then were off the races again.
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The 1D Channel Down should reject the price again as a Lower High. It also made a near 4H Double Top. Short:

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Hi eveybody, this chart I post is exactly in 5 days ago:
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Nice chart! Here's another look at Bitcoin!

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