I hope you have been following my analysis since August 29th and made some decent money shorting bitcoin. For reference find it here:
I thought I might do a shorter term update. Anyway, all is still going as planned. We appear to be forming a descending broadening wedge that will take us down to our target of 6K. From here we should bounce out of the wedge to 6540ish before retracing to testing our breakout level. We could range between these two levels for a few days or more before building our momentum to finally breakout of the purple down trend line and then commence our trip up to our target of 11K. Trade as you see fit. I will scalp some shorts from 6300-6200 and have laddered in longs set from 61XX down (6150, 6100, 6050, 6000, 5950 etc).
I thought I might do a shorter term update. Anyway, all is still going as planned. We appear to be forming a descending broadening wedge that will take us down to our target of 6K. From here we should bounce out of the wedge to 6540ish before retracing to testing our breakout level. We could range between these two levels for a few days or more before building our momentum to finally breakout of the purple down trend line and then commence our trip up to our target of 11K. Trade as you see fit. I will scalp some shorts from 6300-6200 and have laddered in longs set from 61XX down (6150, 6100, 6050, 6000, 5950 etc).
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Still within the descending broadening wedge. I expect a drop down to the 6K range as early as tonight. It could only be a wick, but none the less it should be coming very soon.
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Note it also seems like it could go a bit lower and down more around the 5950ish mark.
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Still within the descending broadening wedge. I have amended my targets slightly and can see us going down to 5915 as the very lowest. This hits the purple uptrend line created by combining the higher lows formed from June 29th onwards. I can't see us breaking this. If we do, and we go below the orange line, we aren't looking good as this means we have created a lower low and things are decidely bearish. Like I said though, I can't see this happening.
I see us dropping very soon and causing a FOMO of shorts which are already pretty extended which will then fuel our rise up and out of the descending broadening wedge and up towards our ultimate target of around 11,500.
I see us dropping very soon and causing a FOMO of shorts which are already pretty extended which will then fuel our rise up and out of the descending broadening wedge and up towards our ultimate target of around 11,500.
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Have amended pattern. Same principle applies, we go down to around 6K before going up. Take note of recent bearish cross 50/100 MA and hard rejection wick off the 50 MA.
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Not as confident this is a descending broadening wedge anymore, we could be forming a descending triangle. None-the-less if we do continue to form the descending triangle and break out close to the apex we still hit our target perfectly. Time will tell though, trade carefully.
