complete analysis on Bitcoin ( Read this carefully )
Hello guys, welcome back, I hope you all doing great.
I decided to write a complete analysis on bitcoin, recent moves brought so much fear into the market, everybody having different ideas on the price action, some going short some going long, so the question is, what to do now.
We are going to take a look at bitcoin on different time frames and check the technical analysis for each one.
now this is probably going to be a long article but I believe its worth the time.
Lets start with weekly chart to see what is going on here.
I drew a trendline by connecting 2020 big crash and 2021 crash ( pointed out on chart ) and it turned out to be a proper trend line ( by checking out the daily chart you will realize price had reactions to this zone many times )
by drawing this line, now I can tell we have a reliable price as bottom, we can kind of expect to bitcoin reverse its move by touching that line once again ( if price ever decides to touch it again ! )
Don't worry, I will summarize all of the content at the end, but please follow the text carefully ;)
I also drew an orange trend line which is kinda forming a triangle for us ( and again if you check on lower time frames you will realize its an actual trend line not just a random line ); by break of this orange line, price managed to make a new ATH and we all know you should always expect a pullback to broken levels.
So again, we have another level that we can expect a trend reversal from !
now lets take a look at daily time frame and draw some important support and resistances for a better understanding
now if price keeps going down from here steady and slowly, 40.8 - 41.0 k is where I expect a trend reversal :
Why? Because there is so much support! we have a huge weekly trend from 2020, another support zone and the orange trend line, the support on that level is massive and if price ever goes below that level, we are going to see a huge crash and that shouldn't happen. ( That will probably ruin crypto market )
- So to summarize #First_Scenario would be :
but we might also see a trend reversal after an small pullback to 44k Zone, for this you can use candle stick patterns, pin bars , doji bars and ... with a bull candle after them will probably confirm a trend reversal and a pullback.
But ! these are all harsh scenarios, lets look at lower time frames to see if we stand a chance for a run from where we are !
as you can see, we have a trend line and also a support zone ( purple one ) on the chart, price broke out of the trend line but the support zone is strong enough to hold it for now, you can also see a trend reversal candle stick pattern here, which is kinda telling us that we are going back up for a bit now ( this might be a pullback of the down trend ).
Currently price has a resistance on 52k, if we somehow manage to break this level, we can see another run toward up but I really think the first 2 scenarios are more likely to be accurate.
in conclusion I'd like to say, we are most likely facing a downtrend but the whole thing is still bullish, there has never been a bear market in crypto and all the downtrends were just some corrections, there is always ups and downs in financial market.
this is not a financial advice, you can hold your money or you can use this analysis to sell on pullback and enter on lower prices ( if ever happened ) or wait for 52k break to enter again.
But I repeat " THIS IS NOT A FINANCIAL ADVICE ", please be very careful these days.
Hopefully my work will help you guys a bit, wish you all great trades and profitable days.
please like and follow me on tradingview and other social medias, your support means the world to me.
Im open to your ideas let me know in the comment section below.
Good luck
I decided to write a complete analysis on bitcoin, recent moves brought so much fear into the market, everybody having different ideas on the price action, some going short some going long, so the question is, what to do now.
We are going to take a look at bitcoin on different time frames and check the technical analysis for each one.
now this is probably going to be a long article but I believe its worth the time.
Lets start with weekly chart to see what is going on here.
by drawing this line, now I can tell we have a reliable price as bottom, we can kind of expect to bitcoin reverse its move by touching that line once again ( if price ever decides to touch it again ! )
Don't worry, I will summarize all of the content at the end, but please follow the text carefully ;)
I also drew an orange trend line which is kinda forming a triangle for us ( and again if you check on lower time frames you will realize its an actual trend line not just a random line ); by break of this orange line, price managed to make a new ATH and we all know you should always expect a pullback to broken levels.
So again, we have another level that we can expect a trend reversal from !
now lets take a look at daily time frame and draw some important support and resistances for a better understanding
- So to summarize #First_Scenario would be :
But ! these are all harsh scenarios, lets look at lower time frames to see if we stand a chance for a run from where we are !
Currently price has a resistance on 52k, if we somehow manage to break this level, we can see another run toward up but I really think the first 2 scenarios are more likely to be accurate.
in conclusion I'd like to say, we are most likely facing a downtrend but the whole thing is still bullish, there has never been a bear market in crypto and all the downtrends were just some corrections, there is always ups and downs in financial market.
this is not a financial advice, you can hold your money or you can use this analysis to sell on pullback and enter on lower prices ( if ever happened ) or wait for 52k break to enter again.
But I repeat " THIS IS NOT A FINANCIAL ADVICE ", please be very careful these days.
Hopefully my work will help you guys a bit, wish you all great trades and profitable days.
please like and follow me on tradingview and other social medias, your support means the world to me.
Im open to your ideas let me know in the comment section below.
Good luck
Trade active:
we reached 40k, now its time to go back up
we had a bear trap yesterday now I can say we are probably going to break down and have a ride toward 44k and 40k