Bitcoin is currently in a corrective phase in the form of a bull pennant.
With a bull pennant, you can measure from the bottom of the pole to the top of the pole to estimate a target. If Bitcoin happens to breakout this month, the target would become approximately $19,000.
As long as Bitcoin stays above the yellow dashed trend line, the long term trend is bullish. The medium term is bullish as well as long as Bitcoin stays above the solid white trend line.
The only thing bearish about BTC is the lower high (LH), but that is negated by the higher low (HL). The trend is clearly in bulls favor.
If you're considering a long term short position, look for the yellow dashed trendline to break. Until then, be on the lookout for long entries on lower time frames and always remember, if you don't set a stop loss, you are gambling.
In my opinion, the monthly chart tends to work the best for determining the trend of Bitcoin. As you can see from my related idea, I was able to predict the absolute bottom of Bitcoin at $3,200 using the monthly chart.
With a bull pennant, you can measure from the bottom of the pole to the top of the pole to estimate a target. If Bitcoin happens to breakout this month, the target would become approximately $19,000.
As long as Bitcoin stays above the yellow dashed trend line, the long term trend is bullish. The medium term is bullish as well as long as Bitcoin stays above the solid white trend line.
The only thing bearish about BTC is the lower high (LH), but that is negated by the higher low (HL). The trend is clearly in bulls favor.
If you're considering a long term short position, look for the yellow dashed trendline to break. Until then, be on the lookout for long entries on lower time frames and always remember, if you don't set a stop loss, you are gambling.
In my opinion, the monthly chart tends to work the best for determining the trend of Bitcoin. As you can see from my related idea, I was able to predict the absolute bottom of Bitcoin at $3,200 using the monthly chart.
Comment:
Here is a a simplified breakdown of what is currently happening on the daily chart. Bitcoin held support twice and then test the 30 week moving average and found sellers there. The price is now stuck between support and the 30 week moving average.
My goal is to find the best risk:reward setups. For instance, if you risk $1,000 at a chance to make $5,000, you can afford to be wrong 4 out of 5 times and still not lose money. I hit my targets over 50% of the time.
