Good morning again ladies and gentlemen and welcome back to my daily analysis of Bitcoin. Today I have the 4hr time frame pulled up and I can see we shook a lot of the resistance that was plaguing the bulls over the last few days. But is it time to celebrate? Im not so sure yet. I would love to see us break 40k again but that will take some help from the bulls for sure. And Im sure the bears have other plans to boot. I have a few things I want to discuss this a.m. so lets get started.
I see we broke above the 4hr 50 MA yesterday and that after that we were stuck between a rock and a hard place (4hr 50 MA and the 4hr cloud {top border}) We finally shook the charts up enough to break above the 4hr cloud and in the midst of the break out we got back above 40k... If only briefly. Since topping out at the 40k level we have started a slow descent back to former support (the 4hr 50 MA )
Now is the moment of truth. Will that 4hr 50 MA hold or do we sink further down the chart? These are the questions that keep me up at night folks. If the 4hr 50 MA holds I believe we have a real shot at reclaiming some of the support we lost over the past few days. No matter how you slice it we are still above 38k and I cant complain about that at all.
I drew a big triangle I noticed forming this morning. Its something we should certainly keep an eye on. At the very least it can show you possible future support and resistance if the candles approach the borders of the pattern. If this pattern remains valid we should see a break from this triangle in late January. Only time will tell if this works out but from what I see its entirely possible.
At the end of the day we are still sitting pretty. Most people with skin in this game for any amount of time should be in some decent profit. With stimulus talks heating up we could certainly see some fireworks from BTC in my personal opinion. Im assuming a few people will invest in BTC and with the mass money printing I believe BTC stands to benefit from the inflation of the US dollar. Just like Gold does. We will just have to wait and see. Lets focus on whats right in front of us today and hope this 4hr 50 MA holds... Otherwise we may see more red. Have a great day folks and enjoy your Friday! Make good choices! And always remember WTFDIK???
TLDR: Currently retesting the 4hr 50 MA and if it holds we may retest the top of the triangle I drew. If the 4hr 50 MA fails we may see more red. Set a stop loss folks.
I see we broke above the 4hr 50 MA yesterday and that after that we were stuck between a rock and a hard place (4hr 50 MA and the 4hr cloud {top border}) We finally shook the charts up enough to break above the 4hr cloud and in the midst of the break out we got back above 40k... If only briefly. Since topping out at the 40k level we have started a slow descent back to former support (the 4hr 50 MA )
Now is the moment of truth. Will that 4hr 50 MA hold or do we sink further down the chart? These are the questions that keep me up at night folks. If the 4hr 50 MA holds I believe we have a real shot at reclaiming some of the support we lost over the past few days. No matter how you slice it we are still above 38k and I cant complain about that at all.
I drew a big triangle I noticed forming this morning. Its something we should certainly keep an eye on. At the very least it can show you possible future support and resistance if the candles approach the borders of the pattern. If this pattern remains valid we should see a break from this triangle in late January. Only time will tell if this works out but from what I see its entirely possible.
At the end of the day we are still sitting pretty. Most people with skin in this game for any amount of time should be in some decent profit. With stimulus talks heating up we could certainly see some fireworks from BTC in my personal opinion. Im assuming a few people will invest in BTC and with the mass money printing I believe BTC stands to benefit from the inflation of the US dollar. Just like Gold does. We will just have to wait and see. Lets focus on whats right in front of us today and hope this 4hr 50 MA holds... Otherwise we may see more red. Have a great day folks and enjoy your Friday! Make good choices! And always remember WTFDIK???
TLDR: Currently retesting the 4hr 50 MA and if it holds we may retest the top of the triangle I drew. If the 4hr 50 MA fails we may see more red. Set a stop loss folks.