dear readers lets take a look at the BTCUSD chart and compare it to 2015
we had a high with a failure to break higher again. we broke down and formed a V bottom (the lowest point) followed by relief rally and some consolidation. it is important to note that we never found a lower low again, and ultimately formed the first higher high which indicates that the bulls are getting ready to take charge.
Why did we break out so high? the answer is simple... GIANT ascending triangle on the weekly which gave us a target of 5400. if we draw the fib from the previous high to the lowest low on both 2015 and now and compare we can see that we had a resistance at the 0.5fib line and the 50 week moving average both then and now have provided resistance. if we compare the 2 charts, we can make the conclusion that the bottom is already in and that where ever we find support on the weekly will possibly be the last opportunity to buy BTC at rock bottom prices, likely around the 0.236fib line($4200). from a candlestick perspective, in 2015 we had a rally up followed by an immediate pullback the next week. We should expect to see a pullback in the next week or 2 to confirm the top of this leg.
Indicators: the K line is overbought on multiple time frames from the weekly right down to the hourly
RSI: we hit the 90's on the daily RSI( it is important to note that the last time the RSI was that overbought was december 2017!)
TD sequential: we have a weekly 9 followed by a daily 9 and shorter time frames also calling 9 and above( indicating serious bullish momentum but also overbought)
Volume: volume per price range shows a major gap between here and 4200 (which is where we are likely to find support)
so in conclusion, i hope you have been saving because this could very well be the final leg of the bear market and it might be over sooner than expected. comparing the time between peaks and troughs from 2015 and now, we are certainly in an accellerated bear market and should expect to see the next top within the next 6-12 weeks.
we had a high with a failure to break higher again. we broke down and formed a V bottom (the lowest point) followed by relief rally and some consolidation. it is important to note that we never found a lower low again, and ultimately formed the first higher high which indicates that the bulls are getting ready to take charge.
Why did we break out so high? the answer is simple... GIANT ascending triangle on the weekly which gave us a target of 5400. if we draw the fib from the previous high to the lowest low on both 2015 and now and compare we can see that we had a resistance at the 0.5fib line and the 50 week moving average both then and now have provided resistance. if we compare the 2 charts, we can make the conclusion that the bottom is already in and that where ever we find support on the weekly will possibly be the last opportunity to buy BTC at rock bottom prices, likely around the 0.236fib line($4200). from a candlestick perspective, in 2015 we had a rally up followed by an immediate pullback the next week. We should expect to see a pullback in the next week or 2 to confirm the top of this leg.
Indicators: the K line is overbought on multiple time frames from the weekly right down to the hourly
RSI: we hit the 90's on the daily RSI( it is important to note that the last time the RSI was that overbought was december 2017!)
TD sequential: we have a weekly 9 followed by a daily 9 and shorter time frames also calling 9 and above( indicating serious bullish momentum but also overbought)
Volume: volume per price range shows a major gap between here and 4200 (which is where we are likely to find support)
so in conclusion, i hope you have been saving because this could very well be the final leg of the bear market and it might be over sooner than expected. comparing the time between peaks and troughs from 2015 and now, we are certainly in an accellerated bear market and should expect to see the next top within the next 6-12 weeks.
Comment:
we have managed to find resistance at the 0.5 fib line multiple times, the more we retest and fail with lower highs each time, the bigger the likelihood of us going down.