BITCOIN: Fleet of Divergences
Here's an analysis of Bitcoin on a 3D time-frame which provides an observation of the asset experiencing a continuous downtrend over the long term as it keeps carving Lower Highs (LH) and Lower Lows (LL) in price. If we look at the price action we can observe a series of Divergences with the price forming Lower Highs (LH) and the indicator (RSI) forming Higher Highs (HH) signalling the formation of Hidden Bearish Divergence .
Hidden divergence is different from regular divergence due to the location of the pattern. Hidden Divergence tends to occur within an existing trend and it signals the end of a consolidation phase (Shown in Red Parllel Channel) within the larger trend. Regarding our current situation with BTC, we must take the emergence of the Hidden Divergence sincerely as it is indicated on a 3-day time horizon, reflecting the underlying strength of BTC and the relatively impending dump in the days/weeks to come.
As a result of this objective analysis, we can conclude that a bearish biased price development is quite likely in the near future. However, if the price somehow surges higher above the 21.5k - 22.8k zone, the divergence is rendered invalid. Don't forget to DYOR (do your own research). Feel free to share your thoughts in the comment section below.
Hidden divergence is different from regular divergence due to the location of the pattern. Hidden Divergence tends to occur within an existing trend and it signals the end of a consolidation phase (Shown in Red Parllel Channel) within the larger trend. Regarding our current situation with BTC, we must take the emergence of the Hidden Divergence sincerely as it is indicated on a 3-day time horizon, reflecting the underlying strength of BTC and the relatively impending dump in the days/weeks to come.
As a result of this objective analysis, we can conclude that a bearish biased price development is quite likely in the near future. However, if the price somehow surges higher above the 21.5k - 22.8k zone, the divergence is rendered invalid. Don't forget to DYOR (do your own research). Feel free to share your thoughts in the comment section below.
Comment:
Idea Invalidated