Hello dear followers and welcome to another episode of the awakening of the bears! Today is not a great day for hodlers but traders are going to love what is just about to happen so let´s get right to it. Bitcoin is leaving its I don´t know where the hell I´m going phase. During a few days the price was facing 4 solid resistances:
1. Log downtrend line. (black)
2. Top of a triangle. (purple)
3. Last head and shoulder neckline. (red)
4. Last resistance at 9200. (transparent red)
Just now we are making a clear reversal in what is an uptrend kumo in the 8 hours ichimoku chart, which converts it to a beautiful divergence, since the kumo is loosing supports. Together with the 4 resistances that I just mentioned, the 1 day and 2 days bearish kumos and the fact that we didn´t have a real correction to continue the uptrend yet, makes a solid scenario for another correction, but this time could be serious and a test of the main uptrend line it´s in the game.
The coming correction will break the last uptrend line created at April 17th, which could makes price looking first for the 0.382 day fibo at 8480. We have to be alert at that level, since the price could look further for the next fibo at 8.1k, which is actually a bigger support. If the 0.382 hold the price, we can expect a bounce up to the last uptrend line (green) or the log downtrend line (black), but if we have a strong correction, the 8.1k support looks like the one to be tested with an expected bounce to 8480.
As I just wrote myself, the current scenario makes Bitcoin to get into consideration for a main uptrend line test at around 6.8k, since below 7800 there is not any strong support to hold the falling of the price. A rebound at the uptrend line is expected, and whales uses these levels to move around 1k per bounce at the main lines, but this time is different. The symmetric triangle created in December 17th is ending, and the whales will look for a prompt solution, either the exit of the downtrend or a further dip looking for 4.2k monthly fibo level. This scenario may convert the current wave in the wave C from an ABC correction from February 20th, but it is too early yet to make such a depressive forecast, so stay tuned for updates!
Have fun and good luck!
1. Log downtrend line. (black)
2. Top of a triangle. (purple)
3. Last head and shoulder neckline. (red)
4. Last resistance at 9200. (transparent red)
Just now we are making a clear reversal in what is an uptrend kumo in the 8 hours ichimoku chart, which converts it to a beautiful divergence, since the kumo is loosing supports. Together with the 4 resistances that I just mentioned, the 1 day and 2 days bearish kumos and the fact that we didn´t have a real correction to continue the uptrend yet, makes a solid scenario for another correction, but this time could be serious and a test of the main uptrend line it´s in the game.
The coming correction will break the last uptrend line created at April 17th, which could makes price looking first for the 0.382 day fibo at 8480. We have to be alert at that level, since the price could look further for the next fibo at 8.1k, which is actually a bigger support. If the 0.382 hold the price, we can expect a bounce up to the last uptrend line (green) or the log downtrend line (black), but if we have a strong correction, the 8.1k support looks like the one to be tested with an expected bounce to 8480.
As I just wrote myself, the current scenario makes Bitcoin to get into consideration for a main uptrend line test at around 6.8k, since below 7800 there is not any strong support to hold the falling of the price. A rebound at the uptrend line is expected, and whales uses these levels to move around 1k per bounce at the main lines, but this time is different. The symmetric triangle created in December 17th is ending, and the whales will look for a prompt solution, either the exit of the downtrend or a further dip looking for 4.2k monthly fibo level. This scenario may convert the current wave in the wave C from an ABC correction from February 20th, but it is too early yet to make such a depressive forecast, so stay tuned for updates!
Have fun and good luck!
Comment:
The price is inside of a daily bar. The breakout of the previous daily candle invalids my idea, however I doubt it.
Comment:
I wont enter long until the breakout of the log line at 9400. If we get to that price I´ll close this idea as failed
Trade closed manually:
Sl reached
