The Bitcoin market took a beating yesterday following a failed attempt to break above former high of $6,839. The bears saw a moment of weakness in the market when price struggled around $6,820 yesterday and seized it. While I may have slightly underestimated the bears, I remain objectively optimistic about my previous bullish forecast and our journey to 10k.
Price is now hovering above $6,300 after being floored to recent low of $6,260, which is close to a critical Fibonacci level (23.6%) over a 21-day retracement period – a level where reversals usually take place. This consolidation is necessary for Bitcoin to recharge its momentum prior to breaking above former high.
4-HOUR CHART - TECHNICALS
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Looking at the 4-hour chart above, we can see that MACD is back to sub-zeroline but slowly turning bullish. Stochastic is officially in the oversold region while RSI has bounced off a little and looking healthy.
4-HOUR CHART – ICHIMOKU
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With Ichimoku applied, we can see that price is actually hovering above Senkou Span B or the bottom of the bullish cloud which currently acts as strong support. Even though price could just take off from here, I would be more confident of getting sustainable trend reversal from Bitcoin if price could revisit the Fibonacci level (23.6%) at $6,232.70 once more as illustrated.
All the key levels, including trade entry and exit, are available in the main hourly chart of this post (the big chart above). I chose hourly this time so that traders can see the price action moving along my projected trend more intimately and react swiftly on a negative variation as needed.
Happy trading, my friends!
Price is now hovering above $6,300 after being floored to recent low of $6,260, which is close to a critical Fibonacci level (23.6%) over a 21-day retracement period – a level where reversals usually take place. This consolidation is necessary for Bitcoin to recharge its momentum prior to breaking above former high.
4-HOUR CHART - TECHNICALS
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4-HOUR CHART – ICHIMOKU
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All the key levels, including trade entry and exit, are available in the main hourly chart of this post (the big chart above). I chose hourly this time so that traders can see the price action moving along my projected trend more intimately and react swiftly on a negative variation as needed.
Happy trading, my friends!
Comment:
Inverse head and shoulders (bullish pattern) now forming in the Bitcoin 4-hour chart with a potential target of $8,000. My friends, $8,000 is Target #2 of my previous long term Bitcoin forecast titled "Bitcoin Q3 2018 Free Trading Guide".
Comment:
Good day, guys! Although here is almost midnight. :) I apologize for not having a chart here as I am traveling again.
Let's get on with today's analysis. I see $6175 now and that means our Stop Loss has been triggered. So what are our options now? Well, my friends, I have only good news and more good news. The first good news is that our Inverse Head and Shoulders pattern remains valid so a reversal is still in the cards. The other good news is that we are approaching the end of a very large triangle on the weekly chart so a breakout from here will send us straight to $8,000. Other factors will need to be properly re-evaluated when I get back to my trading station tomorrow. Happy trading!
Let's get on with today's analysis. I see $6175 now and that means our Stop Loss has been triggered. So what are our options now? Well, my friends, I have only good news and more good news. The first good news is that our Inverse Head and Shoulders pattern remains valid so a reversal is still in the cards. The other good news is that we are approaching the end of a very large triangle on the weekly chart so a breakout from here will send us straight to $8,000. Other factors will need to be properly re-evaluated when I get back to my trading station tomorrow. Happy trading!
Comment:
To my followers, please note that the BTC Q3 2018 Trading Guide is still in play. We will be at $8,000 two weeks from now, if not sooner.
If you are a day trader, things may look bad for you right now. On the other hand, if you are a long term bull, you should probably be drooling over the price we are in. Although looking at the 4-hour chart, we could get another leg lower but the way I look at it, the difference is not much. Alright, I am calling it a day.
Good luck, my friends!
If you are a day trader, things may look bad for you right now. On the other hand, if you are a long term bull, you should probably be drooling over the price we are in. Although looking at the 4-hour chart, we could get another leg lower but the way I look at it, the difference is not much. Alright, I am calling it a day.
Good luck, my friends!
Comment:
A friend in the comments section made a good point. Why is this trade active despite having stop loss triggered? I am keeping this trade active because I still think the target is achievable over the short term (2 weeks or so). As a matter of fact, I just bought a Bitcoin at $6,192. If it gets lower, I will stack more and I am not asking you to do the same. Alright, I will catch up on the technicals tomorrow.
Comment:
Isn't Bitcoin bullish tonight/today? Things are looking good, right? I can see more bullish charts on TV than the day before. Anyway, I just had the chance to properly study the chart and I saw a few potential paths (screw technicals) that will lead us to our trade exit and beyond, and there is also one that leads us down. So please go through this new chart below (click to enlarge):
Comment:
Here we go...
Trade closed: target reached:
We reached both targets. Congrats, guys! I will post a new analysis tomorrow. Meanwhile, refer to this chart below.
Trade closed: target reached:
Good morning, traders. I just want to recap our recent trade. Even though we had anticipated this 7400-7500 rally on July 14 (4 days ago), I am just as impressed with Bitcoin's performance as anyone else. Here is a comparison between my forecast and the actual price now.
Forecast (July 14)
In this forecast, I predicted the 3rd wave to end at around 7100, a level to take some profit, before continuing to the 5th wave that ends at around 7450.
Actual (July 18): In actual, the 3rd wave ended much lower but the 5th wave ended just as predicted. This is a big win for us as we not only managed to take profit at 7100 but 7450 as well.
To my followers, thank you for your patience and confidence in me. You deserve this profit.
Forecast (July 14)
In this forecast, I predicted the 3rd wave to end at around 7100, a level to take some profit, before continuing to the 5th wave that ends at around 7450.
Actual (July 18): In actual, the 3rd wave ended much lower but the 5th wave ended just as predicted. This is a big win for us as we not only managed to take profit at 7100 but 7450 as well.
