We are at an interesting point for the price of bitcoin. As you can see on the chart above there are many patterns that can be drawn on the 4H chart.
As of the time time of this writing we broke down the lower boundary of the parallel upwards channel and if we close below it at 12pm utc my best guess is that we start trading in yet another, albeit higher, horizontal range. This is indicate by the light green former resistance line of the horizontal channel and the long term resistance green dashed line. The support of this range has just been tested by the current candle.
If we manage to close above the parallel up channel, we will probably go and test the upper boundary of this channel, but be careful of the green dashed resistance level which might be to hard to cross still.
On the chart above you also notice a purple down parallel channel. This is a long term downward channel and will most probably be a major hurdle for btc to cross.
Summary:
If we close below the light green upward channel, it is most likely we will start trending between 8300 and 8700.
If we close above this channel, we might go further up to 9000-ish and test the resistance of the purple downward channel.
Keep in mind that this is what I expect that will happen, but btc can do what it wants and it certainly doesn’t care about what I expect it to do.
Disclaimer:
This is by no means trading advice, but written and to be treated as educational material. Always trade on your own risk and make your own analysis.
As of the time time of this writing we broke down the lower boundary of the parallel upwards channel and if we close below it at 12pm utc my best guess is that we start trading in yet another, albeit higher, horizontal range. This is indicate by the light green former resistance line of the horizontal channel and the long term resistance green dashed line. The support of this range has just been tested by the current candle.
If we manage to close above the parallel up channel, we will probably go and test the upper boundary of this channel, but be careful of the green dashed resistance level which might be to hard to cross still.
On the chart above you also notice a purple down parallel channel. This is a long term downward channel and will most probably be a major hurdle for btc to cross.
Summary:
If we close below the light green upward channel, it is most likely we will start trending between 8300 and 8700.
If we close above this channel, we might go further up to 9000-ish and test the resistance of the purple downward channel.
Keep in mind that this is what I expect that will happen, but btc can do what it wants and it certainly doesn’t care about what I expect it to do.
Disclaimer:
This is by no means trading advice, but written and to be treated as educational material. Always trade on your own risk and make your own analysis.