BTC is a showing us something - You need to check this chart
Bitcoin is showing some interesting things. Each time we had a impulsive move upward, take a look at where price stopped (before continuation down). Yes exactly at the Golden Pocket (between the 0.618 and 0.65) Fibonacci.
Is that a coincidence? I don't think so as this zone is very often acting as support or resistance depending on the trend direction and TF.
Bitcoin price is exactly at the golden now!
Will this time be different than the past 2 rejections? I don't think so as we are still in a downtrend (big picture) without higher highs + where can see some divergence in the 4H and a descending .
2 options now:
1) Aggressive: Start to build a position with a SL 2% above the previous wick and add more when the price shows more signs.
2) Conservative: Wait for a nice red daily candle to start building your position.
Please encourage me by commenting below if you agree or disagree with my analysis and I will continue posting every day!
For me the trend is still bearish until we make a higher high.
1) So I would be closing half 30% of my short at the new 0.618 fib ($7472) which is also next to the weekly level ($7512.5) and check price action there! If we hold the golden pocket and price start to show strength with volume increasing, i would close all my position and take a long.
2) If price start moving upward again to the actual Golden Pocket ($9000) and consolidate for more than 24h, I will be closing my short and start looking for a long.
I don't like to predict that much, I prefer to play what the market is giving at every situation! I think my approach to trading is very simple: just looking for high probability trades.
Obviously I can reshort retraces at those levels but the targets are there for now.
Happy Trading and thanks for your post...always a little less stress when you see others reinforce your position