As you can see on my weekly chart, the weekly RSI has broken up out of the falling wedge pattern that mirrors the wedge that is on the price action.
Is this a sign of what's to come on the price action? I definitely think so!
If you have been following my previous posts, I have remained bullish since early june, despite all the negative news / fundamentals like "recession is going to crash all assets and everyone is moving their money in to USD because it's the world reserve currency" etc. I don't like to listen to all of this as it's all just noise, I watch the price action and what's happening on the indicators.
Remember when the noise used to say bitcoin is going to be the "new digital gold and a store of value" and somewhere that investors will use as a safe haven in bear markets? Why has this not reappeared and why has the noise now changed their stance?
Is this a sign of what's to come on the price action? I definitely think so!
If you have been following my previous posts, I have remained bullish since early june, despite all the negative news / fundamentals like "recession is going to crash all assets and everyone is moving their money in to USD because it's the world reserve currency" etc. I don't like to listen to all of this as it's all just noise, I watch the price action and what's happening on the indicators.
Remember when the noise used to say bitcoin is going to be the "new digital gold and a store of value" and somewhere that investors will use as a safe haven in bear markets? Why has this not reappeared and why has the noise now changed their stance?
Comment:
In case you're wondering what the upwards trendlines are, these are a fibonacci channel drew on my chart from the low of April 2013 and the low from August 2015.
The overall long term trend is bullish and we are approaching the bottom of the channel and you know what they say "trade with the trend" and "buy the dips".
This "bear trend" is just a dip in the long term bull trend and looking for shorts here is what they call "FOMO".
As Warren Buffet once said "It is wise for investors to be fearful when others are greedy, and greedy when others are fearful".
Whilst everyone else is getting fearful, I'm getting greedy!!!
The overall long term trend is bullish and we are approaching the bottom of the channel and you know what they say "trade with the trend" and "buy the dips".
This "bear trend" is just a dip in the long term bull trend and looking for shorts here is what they call "FOMO".
As Warren Buffet once said "It is wise for investors to be fearful when others are greedy, and greedy when others are fearful".
Whilst everyone else is getting fearful, I'm getting greedy!!!
Comment:
A further addition to this, which I have just noticed and what a lot of new / inexperienced traders may miss completely, is that there is some bullish hidden divergence on the weekly RSI against the price action (as shown by the blue lines on the chart below).
In addition to that, the weekly RSI has re-tested the downwards trendline of the wedge and also the RSI moving average where it has found support and gone back up. The price has found support on weekly close price of the 2017/2018 high too.