Hi there!
So what caused today's price drop was a rising wedge (see my previous post). But where are we heading next? It is very hard to tell. But I think that the coming days will be very important to determine where Bitcoin's price is going.
As you can see Bitcoin has created a falling wedge pattern. This usually indicates that the price will go up, but, as with actually all pattern, it can breakout both ways. This is why it is at the utmost importance that you remain patient.
But let's say this falling wedge does breakout the way we want it to break out. We then will have a nice thrust to fight the longterm downtrend line. When this happens, possibilities will be endless.
On the other hand when it breaks out at the bottom (when it breaks the uptrend support line), there are also endless possibilities. We then might see these 2k-3k scenario's a lot of people are talking about.
You might argue that this second situation is negative, but it will give you a lot of opportunities to trade as well. With a bearish market, you have to be flexible and you have to be willing to go short (atleast in my opinion).
What do you think? Please comment and follow for more!
Mark
So what caused today's price drop was a rising wedge (see my previous post). But where are we heading next? It is very hard to tell. But I think that the coming days will be very important to determine where Bitcoin's price is going.
As you can see Bitcoin has created a falling wedge pattern. This usually indicates that the price will go up, but, as with actually all pattern, it can breakout both ways. This is why it is at the utmost importance that you remain patient.
But let's say this falling wedge does breakout the way we want it to break out. We then will have a nice thrust to fight the longterm downtrend line. When this happens, possibilities will be endless.
On the other hand when it breaks out at the bottom (when it breaks the uptrend support line), there are also endless possibilities. We then might see these 2k-3k scenario's a lot of people are talking about.
You might argue that this second situation is negative, but it will give you a lot of opportunities to trade as well. With a bearish market, you have to be flexible and you have to be willing to go short (atleast in my opinion).
What do you think? Please comment and follow for more!
Mark
Comment:
Watch this rising wedge being created. Once it breaks out at support, the target will be the purple support line.
