Bitcoin RSI divergence. 15 minute chart. Potential long position
Greetings.
Bitcoin has had a lot of sell-offs during the last 24 hours and is now around 7900 USD.
There is a divergence forming on the 15-minute chart. No divergence forming on the 1 hour chart but RSI is around 20 and looking very oversold on that.
I will not personally be entering a trade as of right now, since it is midnight in my timezone and i will be getting some sleep.
But i wanted to create awareness of this divergence forming.
For anyone looking to enter a long position, there could be a potential to do so, if we see buyers enter the market. Just be aware price could drop further due to panic sell-offs. But the divergence does show a short term slowing of selling momentum.
No targets given on this chart, since i am not trading this personally, but fibonacci retracement is shown on the chart.
Bitcoin has had a lot of sell-offs during the last 24 hours and is now around 7900 USD.
There is a divergence forming on the 15-minute chart. No divergence forming on the 1 hour chart but RSI is around 20 and looking very oversold on that.
I will not personally be entering a trade as of right now, since it is midnight in my timezone and i will be getting some sleep.
But i wanted to create awareness of this divergence forming.
For anyone looking to enter a long position, there could be a potential to do so, if we see buyers enter the market. Just be aware price could drop further due to panic sell-offs. But the divergence does show a short term slowing of selling momentum.
No targets given on this chart, since i am not trading this personally, but fibonacci retracement is shown on the chart.
Comment:
Well that almost happened too fast. Within 1 minute after posting the chart price shot up to 8100 USD...
Comment:
I would say this is a pretty good example of why momentum has a large importance with Bitcoin.
Hope you liked this idea even though the validity of the chart was shown within minutes after posting - probably not giving anybody a chance to take advantage of it.
Goodnight :)
Hope you liked this idea even though the validity of the chart was shown within minutes after posting - probably not giving anybody a chance to take advantage of it.
Goodnight :)
Comment:
Just a quick final update on this chart.
Resumé: This chart was posted last night around midnight CEST when price was around 7900.
A clear RSI divergence was forming on the 15-minute chart and RSI showed oversold on the 1-hour chart.
Within a minute after posting the chart, price spiked up to 8100, and shortly after moved to 8252, which was the 0.5 fib. With a spike like that, the 0.382 fib and the 0.5 fib are usually good places to start taking some profits.
We can see now, that the buyers could not keep momentum, and sellers pushed price back down toward 7700 before another buying spike occured, which incidentally hit the 0.236 fib.
So there is definitely some buyers in the market, but the next days will tell if that is enough to hold the price above 7700.
Resumé: This chart was posted last night around midnight CEST when price was around 7900.
A clear RSI divergence was forming on the 15-minute chart and RSI showed oversold on the 1-hour chart.
Within a minute after posting the chart, price spiked up to 8100, and shortly after moved to 8252, which was the 0.5 fib. With a spike like that, the 0.382 fib and the 0.5 fib are usually good places to start taking some profits.
We can see now, that the buyers could not keep momentum, and sellers pushed price back down toward 7700 before another buying spike occured, which incidentally hit the 0.236 fib.
So there is definitely some buyers in the market, but the next days will tell if that is enough to hold the price above 7700.