Bitcoin / US Dollar Perpetual Inverse Swap ContractBitMEX
Description
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Since the beginning of 2020 Bitcoin has shown remarkable signs of absorption. Let's analyze the bullish scenario.
WYCKOFF STORY The analog upbars at point (1), (2),(3) indicate ease of movement to the upside. The rally begins on expanding volume, supply is vertically absorbed at (4). Price has broken the overbought line of the major downtrend, a change of behavior (5). We are approaching the 10K supply zone in red where we expect to see a reaction, but at the moment we do not see evident signs of exhaustion of the rally. 10K is also an important psychological level for traders. For the first time since July, the bullish scenario gains credibility. The blue line on the charts indicates an unfinished rounding accumulation range.
SCENARIO #1 The long term consolidation can continue until the last supply available on the top of the range is absorbed. The demand area at $8000 is a strong value zone for a retest (6). It would offer a long re-entry (7).
SCENARIO #2 The rally accelerates and supply is vertically absorbed (8)
It would make a lot of sense to get near the previous wick high before correcting most seriously because it will still leave many questioning if the trend is broken and maximize volatility.
cmawson
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Thank you for your analysis. I've enjoyed reading your Weekly Crypto Reports. The last weekly report was on Dec 20. Any plan to start publishing them again?
Wyckoff_Analytics
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@cmawson, thanks for following us. We publish the Weekly Crypto Report every Sunday, just sign up our email list for free and you will receive our regular updates. We have added more content and a new Q & A section for those who want to deepen their Wyckoffian knowledge. The next issue will be available tomorrow. You can find the Sign Up link above. Come on board, it's free!
cmawson
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@Wyckoff_Analytics, thanks for your reply. I have been checking for the weekly reports on your website but don't see any new reports published. Do I need to sign up to your email list to access the reports? I have just done so but I wonder if I missed a few reports. If there were new reports published the last few Sundays, could you please provide the links? Thanks!