What's up everybody. I'm here today to offer my insight regarding Bitcoin's recent price action.
Right here we're looking at the 4h chart for BTC with a lot of things going on. First, you'll notice a strong green uptrend that goes all the way back to 01/01/2017. This green uptrend is being challenged by a bearish downtrend that began forming after the highs we made in December. If this downtrend continues along its baseline we're looking at a test of the 7300 level before seeing any bullish reversal. There are a few indicators that lead me to believe this is going to be the case:
1) A head and shoulders pattern outlined in grey.
2) The 20 EMA points to downward momentum.
3) 7300 is at the 0.786 Fibonacci retracement level.
4) RSI shows we still have room to go down.
WILDCARD: The MACD is showing a potential bullish cross. This is definitely something to keep an eye on but my belief is that this will be nothing more than a last minute fakeout.
Opinion: I believe Bitcoin will breakout to the downside with a target of 7300 in mind. Because of the MACD situation I would be skeptical of any spikes to 8200-300 in the very near future.
*As always this information is not a recommendation to buy or sell. It is to be used for educational purposes only.*
Thanks for taking the time to read my first post! I look forward to contributing more ideas to the TradingView community in the coming weeks.
Right here we're looking at the 4h chart for BTC with a lot of things going on. First, you'll notice a strong green uptrend that goes all the way back to 01/01/2017. This green uptrend is being challenged by a bearish downtrend that began forming after the highs we made in December. If this downtrend continues along its baseline we're looking at a test of the 7300 level before seeing any bullish reversal. There are a few indicators that lead me to believe this is going to be the case:
1) A head and shoulders pattern outlined in grey.
2) The 20 EMA points to downward momentum.
3) 7300 is at the 0.786 Fibonacci retracement level.
4) RSI shows we still have room to go down.
WILDCARD: The MACD is showing a potential bullish cross. This is definitely something to keep an eye on but my belief is that this will be nothing more than a last minute fakeout.
Opinion: I believe Bitcoin will breakout to the downside with a target of 7300 in mind. Because of the MACD situation I would be skeptical of any spikes to 8200-300 in the very near future.
*As always this information is not a recommendation to buy or sell. It is to be used for educational purposes only.*
Thanks for taking the time to read my first post! I look forward to contributing more ideas to the TradingView community in the coming weeks.
Comment:
Hello again! Over the course of the night it appears as though BTC has followed our wildcard path. After looking at the 1h chart I would like to point out that this short term reversal may extend to 8900. My previous estimate of 8200-300 has already been surpassed but I still believe bears are in control. At this time I would exercise caution if thinking about starting a position. This has been your favorite one 800 operator -- signing off!
Comment:
WE HAVE ARRIVED! Right now BTC is at 7344. Until we see some serious buying pressure from the bulls I would be cautious about starting a position. When I come across this I will make a new post. Thanks for reading!
Comment:
This trade is over. Take your profits -- which I forgot to add would be a nice 15% if you entered at 7344 -- or refer to my new post to start a long position.