Hello! How are You? Are You ready to talk about Bitcoin?
Today there will be no politics, no military review and no prediction of the fate of Bitcoin.
I was just laying on the couch and trying to draw and pretending to be a technical artist or a technical analysis artist.
First, I connected the top price points of Bitcoin, then the lower ones - that's formed an ascending channel. That way we can see the level of support and resistance.
Then it became interesting to me, how many days we have already been in this channel, it turned out - 475 days is more than a year and a half since the channel was formed.
We can notice how clearly we are moving inside it - with blue circles I marked the points of contact between the bottom and the top of the channel.
Also on the chart, you can see, that the time, that price passing from the bottom - to top - is approximately the same and prices naturally increase.
It has been 43 days since the next price cycle and whether the channel will continue in the next months is a very interesting question, that I will be watching closely.
If we fall out of this channel we'll be in free fall - even down to 20k. Hope it wouldn't happen !
If you are interested in some details about the "channel in technical analysis", below is some theory:
Trading channels can be drawn on charts to help see uptrends and downtrends.
> Traders also use channels to identify potential buy and sell points, as well as set price targets and stop-loss points.
> Ascending channels angle up during uptrends and descending channels slope downward in downtrends.
> Other technical indicators, such as volume, can enhance the signals generated from trading channels.
> How long the channel has lasted will help determine the trend's underlying strength.
Buying or Shorting the Channel
Channels can sometimes provide buy and sell points and there are several rules for entering long or short positions:
- When the price hits the top of the channel, sell your existing long position and/or take a short position.
- When the price is in the middle of the channel, do nothing if you have no trades, or hold your current trades.
- When the price hits the bottom of the channel, cover your existing short position and/or take a long position.
There are two exceptions to these rules:
- If the price breaks through the top or bottom of the channel, then the channel is no longer intact. Do not initiate any more trades until a new channel develops.
- If the price drifts between the channels for a prolonged period of time, a new narrower channel may be established. At this point, enter or exit near the extremes of the narrower channel.
What do you think about it? Share Your view in the comments!
Thank you for attention
Always sincere with You
Rocket Bomb🚀💣
Today there will be no politics, no military review and no prediction of the fate of Bitcoin.
I was just laying on the couch and trying to draw and pretending to be a technical artist or a technical analysis artist.
First, I connected the top price points of Bitcoin, then the lower ones - that's formed an ascending channel. That way we can see the level of support and resistance.
Then it became interesting to me, how many days we have already been in this channel, it turned out - 475 days is more than a year and a half since the channel was formed.
We can notice how clearly we are moving inside it - with blue circles I marked the points of contact between the bottom and the top of the channel.
Also on the chart, you can see, that the time, that price passing from the bottom - to top - is approximately the same and prices naturally increase.
It has been 43 days since the next price cycle and whether the channel will continue in the next months is a very interesting question, that I will be watching closely.
If we fall out of this channel we'll be in free fall - even down to 20k. Hope it wouldn't happen !
If you are interested in some details about the "channel in technical analysis", below is some theory:
Trading channels can be drawn on charts to help see uptrends and downtrends.
> Traders also use channels to identify potential buy and sell points, as well as set price targets and stop-loss points.
> Ascending channels angle up during uptrends and descending channels slope downward in downtrends.
> Other technical indicators, such as volume, can enhance the signals generated from trading channels.
> How long the channel has lasted will help determine the trend's underlying strength.
Buying or Shorting the Channel
Channels can sometimes provide buy and sell points and there are several rules for entering long or short positions:
- When the price hits the top of the channel, sell your existing long position and/or take a short position.
- When the price is in the middle of the channel, do nothing if you have no trades, or hold your current trades.
- When the price hits the bottom of the channel, cover your existing short position and/or take a long position.
There are two exceptions to these rules:
- If the price breaks through the top or bottom of the channel, then the channel is no longer intact. Do not initiate any more trades until a new channel develops.
- If the price drifts between the channels for a prolonged period of time, a new narrower channel may be established. At this point, enter or exit near the extremes of the narrower channel.
What do you think about it? Share Your view in the comments!
Thank you for attention
Always sincere with You
Rocket Bomb🚀💣
Comment:
UPDATE
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Join me in👇🏻:
🚀💣 t.me/+aAADzO1OqsQ2MGI0
💰 I'm using Bybit and I highly recommend it to You. By using my link - You'll get a nice bonus
www.bybit.com/invite?ref=7X0W2A