On the 4 hour time frame one can see that $3,500 was nevertheless some sort of a bitcoin’s bottom. A fairly solid upward trend started to form but the series of higher lows was short-lived. The price dumped and we ended with what looks like a symmetrical triangle. We’re currently just in mid-range of this structure.
After a somewhat unexpected bounce from the new-found support (all the higher time frame indicators were pointing down, from MACD to Stoch), the bears stepped in pretty fast. The price couldn’t stay above the high volume node (the highest peak seen from the visible range indicators), an area that is in confluence with the 50 day MA. It seems that the price will thus revisit the diagonal support. Generally, this is not a good sign for the bulls. However, this does make for a nice setup for a long position to be opened just above diagonal support.
One way or another, even in case of bitcoin successfully breaching $4000, the price will then retest the descending resistance line. I’ll reopen a short position there.
Where is bitcoin’s support - Bitcoin Update cryptotradeacademy 4h chart
All in all, the whole thing looks like a fairly typical bear flag. Longing here is a risky trade, as the high time-frame trend is still pointing downwards – and, as they say, the trend is your friend.
The safest opportunity for a proper long would be that we break out of the range, breach $4400 and make a higher high. In that case I’ll open a serious long on a pullback into the green area on the picture above.
Full Article: www.cryptotradeacade...og/bitcoins-support/
After a somewhat unexpected bounce from the new-found support (all the higher time frame indicators were pointing down, from MACD to Stoch), the bears stepped in pretty fast. The price couldn’t stay above the high volume node (the highest peak seen from the visible range indicators), an area that is in confluence with the 50 day MA. It seems that the price will thus revisit the diagonal support. Generally, this is not a good sign for the bulls. However, this does make for a nice setup for a long position to be opened just above diagonal support.
One way or another, even in case of bitcoin successfully breaching $4000, the price will then retest the descending resistance line. I’ll reopen a short position there.
Where is bitcoin’s support - Bitcoin Update cryptotradeacademy 4h chart
All in all, the whole thing looks like a fairly typical bear flag. Longing here is a risky trade, as the high time-frame trend is still pointing downwards – and, as they say, the trend is your friend.
The safest opportunity for a proper long would be that we break out of the range, breach $4400 and make a higher high. In that case I’ll open a serious long on a pullback into the green area on the picture above.
Full Article: www.cryptotradeacade...og/bitcoins-support/