Yesterdays chart I discussed multiple things of interest to me. Mainly we were watching the slow grind of bulls setting lower highs and lower lows on 4 hour to slowly drag price lower. As I was typing up yesterdays chart was when the bulls were showing some life and trying to shift that 4 hour trend back into the bulls favor. I discussed the low of $9651 we set which was a 30% pullback and loving if that would hold for the low and was seeking bulls to change the 4 hour chart to higher lows and higher highs to have me personally back interested in trades. Also was watching for 12 EMA
on daily to see if it could now act as resistance. We saw the close of yesterdays daily candle get rejected at the 12 EMA
but only for a brief period. Within 2 hours of this we saw a short 3% pullback and then the bulls were off again. Overall we now have seen a 30% pullback from $13868 high down to $9651 and then a 20% bounce back up to $11576. I have personally re-entered a partial position off two separate areas. Pullback on the rejection from 12 EMA
on daily which unfortunately only filled one of my buys due to the small pullback. And my second entry this morning when we pullback to just under $11k. I have more cash aside to buy for a further pullback here if needed.
Ideal scenario from here since the bulls have set a higher high on 4 hour chart is a higher low to come in compared to $9651 and then higher high again for 4 hour. This would shift our trend back to fully favoring the bulls and can start the climb back towards $14k. US Holiday tomorrow so stock markets will be closed and shortened day today. Will see what that means for crypto market but I do expect us to trade within this range of $9651 and $13868 for multiple days now.
I do believe the bounce off $9651 was significant enough to say that is our bottom of this pullback but need a higher low and then higher high from 4 hour chart to confirm. Our bounce up to $11576 this morning would be perfectly fine to have that be our short term high of bounce and a healthy pullback just eyeballing the chart is anywhere from $10,500-11k in my opinion. Thus far we have dipped just under $11k but would be fine with a slightly lower pullback to fill last of my orders for this trade. Would also allow bulls to establish a nice healthy support level
just below and above $10k. Sorry for long write up, fairly lengthy day trying to set up trade positions last night and early this morning.
Just My 2 Sats!