BTC jumped from the congestion zone 7.5~8.3k and is being negotiated around 8.6k, just below EMA 200 (that acts as resistance, for now). This is in line with my last analysis (see: related ideas).
If BTC continues to go up, the next resistance is the 9.1~9.3k resistance zone - a strong one.
On the other side, if BTC reverses, than the next supports are is 8.3k and 7.5k.
We should consider that BTC comes from a breakout (down) of a Descending Triangle pattern.
Bulkowski (Encyclopedia of Chart Patterns) presents two methods to calculate the price target after a Descending Triangle breakout (down):
i) Considering the first method, the target is 4.3k;
ii) Following the second method, the target is 6k.
Both targets are around important supports. The first one is close to the price level from where BTC made its first biggest move of the year on april 2.
The second is next to the level that was called by some analysts "the mother of all resistances". BTC never tested it as support, a fact that intrigued those analysts.
Considering those targets (4.3k and 6k), it seems a dramatic corrrection from the peak of 13.8k in june. But, in my point of view, if BTC hit the 4.3k level em jump (up), it is a strong confirmation that we are in a stupend bull market. And maybe this is all what smart money is hoping to get into the game.
Do your research. Maybe some short trade opportunities are surging.
*Just for educational purposes. Don't trade based on this text.
If BTC continues to go up, the next resistance is the 9.1~9.3k resistance zone - a strong one.
On the other side, if BTC reverses, than the next supports are is 8.3k and 7.5k.
We should consider that BTC comes from a breakout (down) of a Descending Triangle pattern.
Bulkowski (Encyclopedia of Chart Patterns) presents two methods to calculate the price target after a Descending Triangle breakout (down):
i) Considering the first method, the target is 4.3k;
ii) Following the second method, the target is 6k.
Both targets are around important supports. The first one is close to the price level from where BTC made its first biggest move of the year on april 2.
The second is next to the level that was called by some analysts "the mother of all resistances". BTC never tested it as support, a fact that intrigued those analysts.
Considering those targets (4.3k and 6k), it seems a dramatic corrrection from the peak of 13.8k in june. But, in my point of view, if BTC hit the 4.3k level em jump (up), it is a strong confirmation that we are in a stupend bull market. And maybe this is all what smart money is hoping to get into the game.
Do your research. Maybe some short trade opportunities are surging.
*Just for educational purposes. Don't trade based on this text.
