BTC End of the week anaylsis for August
1. Consolidation
On Apr 02,2019 BTC roke out from its 133D resistance of $4,000 - $4,200 we have witnessed a strong rally from the buyers that pushes the price higher, as a part of the cycle we can also conclude indeed a lot of people who shorted the market are still bearish on BTC.
But if we are going to follow the price and you are trading Apr-May, BNB was already had its break out from its consolidation (Marh 2019)and making its new cycle and followed by LTC last week of march with a move of (20-50%)
One of the reason why we may want to consider a breakout that holds near/around resistance is that...
Resistance area was being retested that can cause the exhaustion of the sellers and a possibility of a successful trend continuation.
2. Advancing
Apr-May was a long consolidation after breakou, a lot of people who are still bearish in btc are still in disbelief that if will go down.
Some saw HnS pattern, some are bullish and saw some ascengind triangle pattern.
May 19,2019 was the moment of truth for BTC, the break from the resistance of $5,600-$5,800 was not that strong, but the moment it holds and had its resistance became support it eventually picked up and had its strong rally of 100%-130% move that lasted more or less 40-50Days.
3. Distribution
On every text book that you can, it will tell you that distribution stage is the 3rd stage of the 4 stages of the stock market. By this time, the retail investors are heavily invested in a stock or index and big players or smart money is ready to book their profits as they bought during the accumulation stage.
Hence this will create a huge volatility of buying and selling that is why you will notice. BTC was already been ranging for a long time but still haven't break the current high of $13,800 - $14,000. As price makes its LH we can expect for the buyers to get exchausted if resistance was being retested for a lot of time in a short period of time.
It is also apparent, that the direction of the price was heading downward. Since anything can happen in the market, we must be open to the opportunity that this may go on the otherside (bullish).
4. Declining
I there is no declining yet, current price still holding the $10,000 - $9,800 area. Once we saw a breakdown, and $10,000 - $9,800 area was breached I expect for price to retrace on smaller time frame where you can take advantage of shorting the market/precise entry.
I see a support on $9,000-$8,800 area which is also in confluence with 1.27 fib extension if breached
Another possible support will be around $8,000 - $7,500 which is also a resistance that became support + confluence with the fib extension of 1.618 + psychological area of SnR
Disclaimer this is just an analysis and not a financial advise.
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1. Consolidation
On Apr 02,2019 BTC roke out from its 133D resistance of $4,000 - $4,200 we have witnessed a strong rally from the buyers that pushes the price higher, as a part of the cycle we can also conclude indeed a lot of people who shorted the market are still bearish on BTC.
But if we are going to follow the price and you are trading Apr-May, BNB was already had its break out from its consolidation (Marh 2019)and making its new cycle and followed by LTC last week of march with a move of (20-50%)
One of the reason why we may want to consider a breakout that holds near/around resistance is that...
Resistance area was being retested that can cause the exhaustion of the sellers and a possibility of a successful trend continuation.
2. Advancing
Apr-May was a long consolidation after breakou, a lot of people who are still bearish in btc are still in disbelief that if will go down.
Some saw HnS pattern, some are bullish and saw some ascengind triangle pattern.
May 19,2019 was the moment of truth for BTC, the break from the resistance of $5,600-$5,800 was not that strong, but the moment it holds and had its resistance became support it eventually picked up and had its strong rally of 100%-130% move that lasted more or less 40-50Days.
3. Distribution
On every text book that you can, it will tell you that distribution stage is the 3rd stage of the 4 stages of the stock market. By this time, the retail investors are heavily invested in a stock or index and big players or smart money is ready to book their profits as they bought during the accumulation stage.
Hence this will create a huge volatility of buying and selling that is why you will notice. BTC was already been ranging for a long time but still haven't break the current high of $13,800 - $14,000. As price makes its LH we can expect for the buyers to get exchausted if resistance was being retested for a lot of time in a short period of time.
It is also apparent, that the direction of the price was heading downward. Since anything can happen in the market, we must be open to the opportunity that this may go on the otherside (bullish).
4. Declining
I there is no declining yet, current price still holding the $10,000 - $9,800 area. Once we saw a breakdown, and $10,000 - $9,800 area was breached I expect for price to retrace on smaller time frame where you can take advantage of shorting the market/precise entry.
I see a support on $9,000-$8,800 area which is also in confluence with 1.27 fib extension if breached
Another possible support will be around $8,000 - $7,500 which is also a resistance that became support + confluence with the fib extension of 1.618 + psychological area of SnR
Disclaimer this is just an analysis and not a financial advise.
LIKE and FOLLOW
Live trading schedule 8:30pm - 9:30pm UTC+8
M-W-F (FB LIVESTREAM)
fb.com/cryptocurrencytrader10
