BTC on the 2 month chart using 21 ema, RSI and Stoch RSI.
Red circles = Sell region
Green circles = Buy region
White box = Indicator of bull run
Red Circles (sell areas):
When RSI peaks over 85 this is signal #1.
When Stoch RSI is over 90 and the blue line crosses below the red line, this is signal #2.
When both signals trigger, this marks the market top.
(2013 was the only time where the RSI peaked over 85 a second time, while the Stoch crossed at 68. This resulted in a second top in 2013.)
Green Circles (buy area):
When RSI dips under 51 this is signal #1.
When Stoch RSI falls under 20 and the blue line crosses above the red line, this is signal #2. When both signals trigger, this means market has bottomed.
Also of note, when price falls below the 21 ema, that is a good time to be accumulating.
White Squares (bull run):
In the RSI, when the green line crosses above the red line, that's signal #1.
In the Stoch RSI, when the blue line crosses above the 50 (orange dotted line) that's signal #2.
When both the RSI and Stoch signals confrm, this marks bull run.
In 2022 the rules for market bottom has been triggered (Green circles.)
Currently in 2023, the RSI has dipped under 51 and the Stoch is having problems breaking over the 20 level.
More down side in price could be expected if these 2 indicators can't break above their levels.
Currently BTC is under the 21 ema, and the RSI fell back into green circle territory.
The Stoch definitely needs to be watched. If the blue line crosses below the red line, this may pull BTC lower.
The white boxes for 2023/2024 is looking too forward. The RSI and Stoch need to both go over their yellow lines first to even think about the white boxes.
Red circles = Sell region
Green circles = Buy region
White box = Indicator of bull run
Red Circles (sell areas):
When RSI peaks over 85 this is signal #1.
When Stoch RSI is over 90 and the blue line crosses below the red line, this is signal #2.
When both signals trigger, this marks the market top.
(2013 was the only time where the RSI peaked over 85 a second time, while the Stoch crossed at 68. This resulted in a second top in 2013.)
Green Circles (buy area):
When RSI dips under 51 this is signal #1.
When Stoch RSI falls under 20 and the blue line crosses above the red line, this is signal #2. When both signals trigger, this means market has bottomed.
Also of note, when price falls below the 21 ema, that is a good time to be accumulating.
White Squares (bull run):
In the RSI, when the green line crosses above the red line, that's signal #1.
In the Stoch RSI, when the blue line crosses above the 50 (orange dotted line) that's signal #2.
When both the RSI and Stoch signals confrm, this marks bull run.
In 2022 the rules for market bottom has been triggered (Green circles.)
Currently in 2023, the RSI has dipped under 51 and the Stoch is having problems breaking over the 20 level.
More down side in price could be expected if these 2 indicators can't break above their levels.
Currently BTC is under the 21 ema, and the RSI fell back into green circle territory.
The Stoch definitely needs to be watched. If the blue line crosses below the red line, this may pull BTC lower.
The white boxes for 2023/2024 is looking too forward. The RSI and Stoch need to both go over their yellow lines first to even think about the white boxes.
Trade active:
September's monthly candle closed, and this is an update 59 days later:
-Bitcoin rose $8,700 since I first posted (September 2, 2023)
-Price broke above the 21 ema
-Rsi crossed above its basis line (white square)
-Stoch rsi crossed over the 20 level, but hasn't crossed above the 50 level (orange dotted line)
So far 2 out of the 3 requirements have been fulfilled. We're just waiting for the stoch to cross above the 50 level.
When the stoch rsi finally confirms its move over the 50, then this will safely signal the bull run.
The next area to watch after this would be the sell target. (red circles)
September's monthly candle closed, and this is an update 59 days later:
-Bitcoin rose $8,700 since I first posted (September 2, 2023)
-Price broke above the 21 ema
-Rsi crossed above its basis line (white square)
-Stoch rsi crossed over the 20 level, but hasn't crossed above the 50 level (orange dotted line)
So far 2 out of the 3 requirements have been fulfilled. We're just waiting for the stoch to cross above the 50 level.
When the stoch rsi finally confirms its move over the 50, then this will safely signal the bull run.
The next area to watch after this would be the sell target. (red circles)