BTC/USD – The ultimate bottom? Study Fibonacci moving averages
My trade monitor is all Fibonacci. Here you see a weekly chart of Bitcoin with all the relevant exponential moving averages, based on Fibonacci: weekly 8-EMA, 13-EMA, 21-EMA, 34-EMA, 55-EMA, 89-EMA, 144-EMA. You see them one above the other in this chart.
Then there is a grid produced through a Fib Speed Resistance Fan. I use this to give me a better sense of projecting price movements in time.
As you can see, even if the price would fall back to weekly 144-EMA support, around 4,000 USD, this would still keep the uptrend intact. There is no prediction involved here, not at all! Just observation of how price/time move in a field based on Fibonacci weekly moving averages.
There is every reason to use Fibonacci for trading crypto. The crypto industry is all about scaling up, and therefore exponential growth, and the Fibonacci number sequence is mathematically the most adequate to model this.
Moreover, as Wallstreet and high finance institutions have completely taken over the market, they want to keep the numbers and levels “clean” Fibonacci, so that their automated bot trading is the most profitable for them.
Bitcoin has no inherent value, so its price is all a function of supply/demand. Therefore, it has to go through all the stages of supply/demand development, in order to reach ever increasing adoption. The Fibonacci model is simply the most natural to accomplish this.
If you view through the lens of Fibonacci price/time development, then you can see that BTC is going to be huge, “a bubble that never bursts”. But in order not to be swept away by the volatility is good to know how low its price could go before resuming its uptrend.
So, if you want to study price/time from a distance, you may find this chart useful. Very best of luck with your trading/investing.
P.S. Always set your charts to log price scale.
Then there is a grid produced through a Fib Speed Resistance Fan. I use this to give me a better sense of projecting price movements in time.
As you can see, even if the price would fall back to weekly 144-EMA support, around 4,000 USD, this would still keep the uptrend intact. There is no prediction involved here, not at all! Just observation of how price/time move in a field based on Fibonacci weekly moving averages.
There is every reason to use Fibonacci for trading crypto. The crypto industry is all about scaling up, and therefore exponential growth, and the Fibonacci number sequence is mathematically the most adequate to model this.
Moreover, as Wallstreet and high finance institutions have completely taken over the market, they want to keep the numbers and levels “clean” Fibonacci, so that their automated bot trading is the most profitable for them.
Bitcoin has no inherent value, so its price is all a function of supply/demand. Therefore, it has to go through all the stages of supply/demand development, in order to reach ever increasing adoption. The Fibonacci model is simply the most natural to accomplish this.
If you view through the lens of Fibonacci price/time development, then you can see that BTC is going to be huge, “a bubble that never bursts”. But in order not to be swept away by the volatility is good to know how low its price could go before resuming its uptrend.
So, if you want to study price/time from a distance, you may find this chart useful. Very best of luck with your trading/investing.
P.S. Always set your charts to log price scale.
It is all Fibonacci.