BTC has been on a very strong rally since we hit the bottom at 6400s. Although the market is very bullish, and the momentum has been strong, nothing goes up in a straight line. In order to break the heavy resistance at 9050-9245 area, the price needs to have a healthy pullback down to stronger support levels where new buyers will enter the market.
The current rally is slowing down and showing (small) signs of weakness.
The price has been forming a rising wedge which is a bearish reversal pattern indicating that the buyers are geting exhausted. The price is likely to retrace from this area before attempting to break the 9k resistance zone, and push further up to the next strong resistance at 9700-9800.
The confirmation for this trade will be only when the price breaks down of the rising wedge with large volume (a decisive break). If that does not happen, then the bulls are too strong and they might push for another attempt at 9050-9245 resistance zone.
Watch for reversal signs at the support zones for new buying opportunities.
Targets:
1. 8580
2. 8200
3. 7800
The current rally is slowing down and showing (small) signs of weakness.
The price has been forming a rising wedge which is a bearish reversal pattern indicating that the buyers are geting exhausted. The price is likely to retrace from this area before attempting to break the 9k resistance zone, and push further up to the next strong resistance at 9700-9800.
The confirmation for this trade will be only when the price breaks down of the rising wedge with large volume (a decisive break). If that does not happen, then the bulls are too strong and they might push for another attempt at 9050-9245 resistance zone.
Watch for reversal signs at the support zones for new buying opportunities.
Targets:
1. 8580
2. 8200
3. 7800
Comment:
Touching the support line.
Comment:
Looks like it wants to break it, but still lacking real volume and conviction.
Trade active:
Broke support.
Comment:
Still no volume. Not a reliable confimation yet.
Comment:
Full-on FOMO mode has been initiated. BTC breaking this bearish rising wedge upwards.
This market WILL retrace. The higher it pushes without a retrace, the more violent the retrace will be, because it hasn't built any support structure underneath.
Right now, this is likely to push towards 9700-9800 zone. Even 10000 is possible.
But then the retrace could take it down to 8000-8200s once more.
Not saying that will be a bearish sign. It's actually likely to be another final bullish sign, making a higher low somewhere around 8k, and then having a strong supportive structure to continue pushing new highs. But until that happens, this rally is simply not reliable, since it can turn around downwards at any of the resistances, and suddenly you have no support levels below. Not a good place to be in.
This market WILL retrace. The higher it pushes without a retrace, the more violent the retrace will be, because it hasn't built any support structure underneath.
Right now, this is likely to push towards 9700-9800 zone. Even 10000 is possible.
But then the retrace could take it down to 8000-8200s once more.
Not saying that will be a bearish sign. It's actually likely to be another final bullish sign, making a higher low somewhere around 8k, and then having a strong supportive structure to continue pushing new highs. But until that happens, this rally is simply not reliable, since it can turn around downwards at any of the resistances, and suddenly you have no support levels below. Not a good place to be in.
Comment:
The price touched the strong ressitance at 9771 marked with a red line on the main chart above (closer shot below), and it immediately reversed. Look at how easy the price slides down, nothing to support it. There is a small support at 9180-9250 area, but if that gets broken, we're in for a ride down to below 9k.
If the market is still strong however, that small support could hold it there.
If the market is still strong however, that small support could hold it there.
Comment:
If 9k gets broken, 8700 is the next stop.
Comment:
8780 reached. There will be a small bounce (we're seeing it right now), but lacks proper volume and looks more like a dead cat bounce. Not trustworthy yet.
Comment:
Broke the 9180 support, bounced from 8780, went back up (on low volume) to retest the 9180 level as a new resistance (though it could have pushed as far as 9450 before falling off again), and now likely to go further down to lower support levels, first 8700, then 8580-8520 zone. Starting from 8580 watch for bullish reversal signs, because if we see them, that might be a good level to buy.
If 8500s get broken, then 8200-8100 zone is the next support and potential buy zone.
And lastly, 7800-7500 zone is the last line of support if this bullish scenario wants to have any hope to play out. Otherwise, if the price goes below that level, it's full-on bear power again, possibly down to 5800. But it's too early and too far from that to consider it right now. Just wanted to give you an overview of what levels to keep an eye on when it comes to the bigger picture.
If 8500s get broken, then 8200-8100 zone is the next support and potential buy zone.
And lastly, 7800-7500 zone is the last line of support if this bullish scenario wants to have any hope to play out. Otherwise, if the price goes below that level, it's full-on bear power again, possibly down to 5800. But it's too early and too far from that to consider it right now. Just wanted to give you an overview of what levels to keep an eye on when it comes to the bigger picture.
Comment:
The price has formed a falling wedge bullish reversal pattern at this level.
Keep an eye on this, as it may indicate a bounce from here already.
Keep an eye on this, as it may indicate a bounce from here already.
Comment:
Trying to break out of the wedge now. Lacks volume still, but let's see if it manages to do it.
Comment:
Hourly candle closed above the resistance. Volume still not satisfactory, but the price is likely to at least retest 9k from here.
Comment:
9k reached. Judging by this volume and strength of the breakout, it won't end here. This is likely to push higher.
Comment:
If the price breaks 9220 resistance, then we might be seeing another wave up. It is forming a nice bull flag here so far.
I still don't like the fact that it hasn't retraced to lower levels properly, but can't fight the market if it wants to go up, even though it will mean the moves up will not be as reliable as they would have been if we'd gotten a nice retrace to the lower support levels first.
So far, 9220 is the obstacle to watch.
I still don't like the fact that it hasn't retraced to lower levels properly, but can't fight the market if it wants to go up, even though it will mean the moves up will not be as reliable as they would have been if we'd gotten a nice retrace to the lower support levels first.
So far, 9220 is the obstacle to watch.
Comment:
Broke the 9220 resistance. If it manages to stay above the 9150-9200 level, next targets are 9320 and 9500.
Comment:
Reached 8380. Bullish momentum is slowing down, but still not showing any major signs of weakness. A small correction down to 9100 is expected. If 9100-9000 doesn't hold, then 8850-8900 would be next zone of support and a potential buy zone, depending on the potential reversal signals we see there.
Comment:
8900s reached. The price is in the support zone now, as long as it stays above 8850ish. This was expected, as I wrote in my previous update. Look for signs of reversal in this zone, there could be potential buying opportunities.
However, if the price breaks 8800 level, then that would indicate short-term weakness, and potential further drop to lower support levels (8700, 8580, 8220).
However, if the price breaks 8800 level, then that would indicate short-term weakness, and potential further drop to lower support levels (8700, 8580, 8220).
Comment:
Watch for a small rising wedge forming on 15 min chart. If completed, could indicate a retest of 8930s (to start with).
Comment:
You've been warned minutes ago. :)
Comment:
After 9450 resistance gets broken, next target is 9700. The bullish momentum so far holds well.
Comment:
Looks like it wants to drop out of the bullish channel that kept the prices pushing higher so far. If that happens, then the next support is at 8880-8920 zone.
If that doesn't hold, then 8600-8680.
Watch for reversal signs in those zones.
If that doesn't hold, then 8600-8680.
Watch for reversal signs in those zones.
Comment:
Bounced from 8880, but this bounce doesn't look like it's reversing the move down yet. This so far looks more like retesting the resistance on low volume, which is usually followed by another drop.
Price is likely to revisit lower support levels.
Price is likely to revisit lower support levels.
