After BTC hit the first target of our trade set up it collapsed more than 15% from it's high to low. It's not looking bullish on the daily timeframe and after hitting the 48k level we could very easily get a deeper retrace to sub 40k.
Having said that, there is some hope. We have completed a bullish shark and reacted strongly off of it. We have stayed above 42k, which we have been continuously mentioning as the most important level on the BTC chart to stay above. Finally, we are also showing potential bullish divergence on both oscillators.
What do we do with this info? We wait for a perfect opportunity.
This opportunity would come with a type two return of this harmonic. The type two would complete if we rise to around 44k before reversing to the 42k support again. We would then look for a higher low (or the same low), and potentially long there if other factors align.
Keep this pattern in your minds and we will update on here if we take the trade.
Good Luck!
Having said that, there is some hope. We have completed a bullish shark and reacted strongly off of it. We have stayed above 42k, which we have been continuously mentioning as the most important level on the BTC chart to stay above. Finally, we are also showing potential bullish divergence on both oscillators.
What do we do with this info? We wait for a perfect opportunity.
This opportunity would come with a type two return of this harmonic. The type two would complete if we rise to around 44k before reversing to the 42k support again. We would then look for a higher low (or the same low), and potentially long there if other factors align.
Keep this pattern in your minds and we will update on here if we take the trade.
Good Luck!
Comment:
Testing 42, very key. Pcz of harmonic is at 41400 if we head below 42
Comment:
Perfect backtest of 42k
Comment:
Breaking under 42k, if we confirm I expect far lower prices
