I believe the move we saw today was the first move in a new trend that will lead Bitcoin to test support in the 4.2k zone over the coming weeks. I'm expecting a consolidation in this range before another leg down.
I am seeing several bullish signals in the NULS/BTC chart here that I would like to share with you. Most importantly we have a golden cross with the daily 50 EMA crossing above the 200 EMA. We also see price maintaining above the volume profile POC and a few huge spikes in volume that signal major accumulation. This one has potential to go much higher than the...
Bitcoin will likely remain "bullish" for now, but the larger structure it's forming appears to be a rising wedge. If we continue to see volume drop off and the wedge mature it will likely resolve with a big move to the downside. Ideal short entry will be at trendline resistance near 3950-4000, or if the ascending trendline is confirmed as broken.
The Bitcoin bull trap has come to an end and it seems the dominant trend is resuming. The higher time-frames are showing severe hidden bearish divergence in the RSI. With the price making equal highs while the RSI made a significantly higher high. I was skeptical of the rally as the volume was far too low to be confirming a trend reversal. Entered shorts above 4k...
The volume behind this rally is not impressive. Ever since the break of 6k the volume has been declining, which suggests that the last several months of price action is consolidation before another big move. I am expecting another re-test of the descending trendline around $3850 to set a lower high before continuation of the prevailing trend.
TRX/BTC seems to be forming an evening star reversal on the 6 hour chart. A nice confirmation for this pattern would be for the next 6 hour candle to close below 800 sats. Keeping a close eye on this one.
This is the most useful indicator I have found for identifying major market cycle tops and bottoms. As you can see we're still very far from a bottom. I expect this to flash a bottom signal somewhere in the $1,600-$2,200 range.