A view in the logarithmic scale with Fibonacci channel.
Comment:
I have received a request for an update to this chart, and I feel inclined to do so as the price action has very quickly emulated the prediction I made a few days back. If you are like me you are probably wondering, if it dropped so quickly will it rebound just as fast towards the highs I've indicated, or will it break resistance and fall through the floor? It's an intriguing question that I think is readily answered thus:
There is a complete ABC correction visible in the 1-hr (or smaller) timeframe, and the current bounce above the 0.5 correction level is likely proof that the correction is over.
However, that 0.5 level is a level of resistance, so it is likely to correct and consolidate below it.
A close inspection of the bounce though shows that it was rejected from the resistance line of the upward channel.
So, I feel it is apparent that the bottom is probably in but that there will very likely be a period of consolidation/accumulation within the lower band of the channel before a break above it. But given the previous spike, a break out of the lower channel and could see rapid appreciation and the establishment of a higher base. Timing is difficult however.
If you would like more views and insights, for the cost of a cup of coffee, join me on Patreon: www.patreon.com/cryptoswing
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
So, I feel it is apparent that the bottom is probably in but that there will very likely be a period of consolidation/accumulation within the lower band of the channel before a break above it. But given the previous spike, a break out of the lower channel and could see rapid appreciation and the establishment of a higher base. Timing is difficult however.