BITCOIN: BEARISH DIVERGENCE FORMATION!!!
Hello traders, I hope your days are going well. Here I am once again with an update on BTC.
Timeframe: 4 hours.
Update: In my previous update, I mentioned the hidden bullish divergence BTC formed and it worked pretty accurately. A strong gain of 12% after the chart got posted. Now, currently, we can see two things happening. Firstly, BTC broke out of the $22.5k resistance level and closed above it which technically, looks bullish. Secondly, BTC is under a strong bearish divergence formation where the RSI top is decreasing and the actual price candle top is increasing.
Conclusion: We can clearly see that BTC has not confirmed the bearish divergence, yet. It is still under formation which means if BTC starts to rally higher, the bearish divergence will get invalidated. We are already in the overbought zone, and the market is all green. Looks like we may likely see some drops soon. So, stay on high alert and trade safely.
Key points:
1. Keep an eye on the bearish divergence.
2. $23k a good support.
3. RSI overbought.
I will keep you guys update.
Timeframe: 4 hours.
Update: In my previous update, I mentioned the hidden bullish divergence BTC formed and it worked pretty accurately. A strong gain of 12% after the chart got posted. Now, currently, we can see two things happening. Firstly, BTC broke out of the $22.5k resistance level and closed above it which technically, looks bullish. Secondly, BTC is under a strong bearish divergence formation where the RSI top is decreasing and the actual price candle top is increasing.
Conclusion: We can clearly see that BTC has not confirmed the bearish divergence, yet. It is still under formation which means if BTC starts to rally higher, the bearish divergence will get invalidated. We are already in the overbought zone, and the market is all green. Looks like we may likely see some drops soon. So, stay on high alert and trade safely.
Key points:
1. Keep an eye on the bearish divergence.
2. $23k a good support.
3. RSI overbought.
I will keep you guys update.
BTC Update:
BTC got rejected as expected but it is still above the upper trendline. Looks like a retest as per the chart but it may turn out to be a fake-out as well. Looking into the market scenario, I have shorted some coins and will hold them until I see any confirmation on BTC.
I hope you listened and didn't go long on any random coins posted on other channels. It is always wise to study the market condition and then play your cards. Don't trust any channel blindly, not even my channel. We are here sharing our opinion about the market and not giving you financial advice. Sometimes we can be wrong too. So, trust your instinct, do your own research, and if you are good to go then invest.
I wish you great hours ahead.