Our friend Bitcoin is still so uncertain as to where it wants to go in the market. When we think were about to see another break, the bears come back and shut it down. I am sure many people are getting disheartened with crypto lately but this is a new market that is growing and not going anywhere, so this could be a time to not be in the market. Not having a position is a position. Gather some funds save some cash and get ready when the bulls regain control. People are out there to make money here and they will come back and buy.
So where are we at and where will we go? Hard to tell but I have the daily chart here with some standard EMA's, the 10, 20, 50 and 200 period exponential moving averages. We have the volume indicator, the Accelerator oscillator which i use to gauge momentum and the classic RSI. So where i support? On the daily we have support around $6434 and we are just above this point in hopes we have a hold here. If this fails the next is just above psychological support at $6k even. Right now volume is just below the volume average rate and we have a small wick on the bottom with a small bounce off thr $6434 support line. RSI is oversold with a slight uptick so i believe we will continue with some support here and see another move up, but it may be short lived. Until we see RSI above 20, we can see a continued decline. Where in a dangerous spot in my opinion. Lets look at the hourerly
If the bounce is successful, we have a lot of ground to make up with a lot of resistance to worry about. I took a look at the hourly chart and to see any real gains and see any start to a real rally, I want to see the hourly break through past the 10, 20 and 50 period moving averages which means we need to break up past approximately $6789. If we get a break past this point on the hourly, that stage one of a bullish return. Now i look at the 4 hour.
The 4 hour shows were still oversold as well. I have some Fib lines drawn only to use to see where the strongest resistance lines will be. If we break the above 1 hour targets, on the 4 hour, we will need a break of the 78% Fib line. This will probably he a hard-line here or we may not even make that line if and when a new rally hits as the 50 period EMA has crossed below this point. If the market turns and we see a good rally on the one hour, this could be a good sell target if we see resistance hit.
Worst case scenario if we fail any rally and break the 6k support the lowest I see we go is around $5850 as on the monthly this is the 20 month EMA average right now which gives me hope the $6k line will hold.
So where are we at and where will we go? Hard to tell but I have the daily chart here with some standard EMA's, the 10, 20, 50 and 200 period exponential moving averages. We have the volume indicator, the Accelerator oscillator which i use to gauge momentum and the classic RSI. So where i support? On the daily we have support around $6434 and we are just above this point in hopes we have a hold here. If this fails the next is just above psychological support at $6k even. Right now volume is just below the volume average rate and we have a small wick on the bottom with a small bounce off thr $6434 support line. RSI is oversold with a slight uptick so i believe we will continue with some support here and see another move up, but it may be short lived. Until we see RSI above 20, we can see a continued decline. Where in a dangerous spot in my opinion. Lets look at the hourerly
If the bounce is successful, we have a lot of ground to make up with a lot of resistance to worry about. I took a look at the hourly chart and to see any real gains and see any start to a real rally, I want to see the hourly break through past the 10, 20 and 50 period moving averages which means we need to break up past approximately $6789. If we get a break past this point on the hourly, that stage one of a bullish return. Now i look at the 4 hour.
The 4 hour shows were still oversold as well. I have some Fib lines drawn only to use to see where the strongest resistance lines will be. If we break the above 1 hour targets, on the 4 hour, we will need a break of the 78% Fib line. This will probably he a hard-line here or we may not even make that line if and when a new rally hits as the 50 period EMA has crossed below this point. If the market turns and we see a good rally on the one hour, this could be a good sell target if we see resistance hit.
Worst case scenario if we fail any rally and break the 6k support the lowest I see we go is around $5850 as on the monthly this is the 20 month EMA average right now which gives me hope the $6k line will hold.