This down trend line will likely not be breached prior to the bottoming process which looks like it is imminent.
Over and over again oversold conditions, coupled with high short interest are followed by a great opportunity for a long entry into BTC. Multiple Time Frame Momentum Strategy suggests that one should look for the momentum reversal to take place on multiple timeframes before entry. I like to see the following timeframes in alignment for BTCUSD. When oversold and...
Triangle could take $BTC price down to $3120 within 8 hrs, volume should pick up at that point and could take the price in either direction fast. I expect to see a bounce off of $2950, a $1000 increase from there is not out of the question especially considering the short interest that is currently in play. If the bulls don't step in in force around $3000 I...
Unfortunately for any bulls who are still out there, lower volume on the weekend could prolong the pain. If there is not a fast reversal at the bottom, many altcoin prices will be destroyed. There has already been an ETH flash-crash on Coinbase bringing the price down to $13 from lack of buy orders, market sell orders and liquidations cannot even be trusted to...
While it is clearly contrary to sentiment at the moment, as well as many TA indicators, it is logical to assume that we will not be setting new lows as long as all these short positions are open. We are once again at the upper boundary of a falling wedge with volume on the rise since the 1st of December. The two possible outcomes I see are: 1) Short term...
With USDBTC shorts nearing levels that are typically followed by a short squeeze, the likelihood that BTC will make new lows in the next few days is dropping. I will look to enter a short position after we see overbought conditions on the Stochastic RSI assuming that we see such a relief rally.
As described in my previous note on the S&P 500, there have been two major market corrections since the end of the Great Recession. They were periods of high volatility and a lot of repricing of stocks for 140 days or more. In both cases they started with: 1. A complete reset of the daily RSI ( Relative Strength Index below 20) 2. The S&P 500 holds below the...
Though I do not believe this is likely, I also believed Bitcoin would find stronger support at $4950 originally. This is the lowest price I believe we may see in the near future of BTC.
In a previous idea I mentioned that if Bitcoin found heavy resistance at $4200 that would be Fibonacci retracement level 0.236 if the bottom were in at $3475. Instead resistance was found at $4330 or level 0.382 if the bottom were to be found ultimately at $2950. BTC will find very strong horizontal support at this level most likely. Something else that would...
Bitcoin found heavy resistance at $4200 which would be Fibonacci retracement level 0.236 if the bottom were in at $3475. It will be interesting to see how Fed statements at noon EST today affect Bitcoin as it rebounds. I would suggest that if the Fed show signs of easing and USD drops this would send Bitcoin back above the $4200 level and on track for a faster...
The sooner the market fully capitulates the sooner the bear market comes to an end, we may see THE low of this bear market made in the next few days rather than what I originally thought (beginning of 2019). The next level of horizontal support is $3000 more precisely $2970, but at each leg lower I am surprised at how the volume tapers off. If it goes as low as...
It is possible that bitcoin has found a bottom and is primed for a relief rally. - Bullish RSI divergence on the 4 hour chart - Bullish wedge has formed as long as the lower boundary holds - BTCUSD has wicked down to and bounced off of $4050 twice
Consumer confidence is high but the only way for this ship to turn around quick is for the Fed to change strategy, that will not happen. Rising interest rates are providing competition to stocks as they have throughout history. To make matters worse, we know the Democrats are going to start the process of throwing Trump's political future in to doubt along with...
It is likely that Bitcoin has found a low that will last through the end of 2018. There will most likely be another leg down early next year to put in the low of the crypto bear market. A level of BTCUSD $5650 would confirm an inverted head and shoulders pattern and create a tradeable uptick to BTCUSD $5870 or (much less likely) even as high as $6050. A move to...
As mentioned in the first published idea on this topic, it is clear that Bitcoin predominantly finds support and resistance on a series of up and down trend-lines able to be plotted on a log chart over longer time frames. Horizontal support and resistance are of secondary and ephemeral importance. Key resistance levels on the way back to the top of the wedge are...
As mentioned in the first two published ideas on this topic, it is clear that Bitcoin predominantly finds support and resistance on a series of up and down trend-lines able to be plotted on a log chart over longer time frames. Horizontal support and resistance are of secondary and ephemeral importance. As we can see here $BTC just became heavily oversold and...
As mentioned in the first published idea on this topic, it is clear that Bitcoin predominantly finds support and resistance on a series of up and down trend-lines able to be plotted on a log chart over longer time frames. Horizontal support and resistance are of secondary and ephemeral importance. As we can see here $BTC just became heavily oversold and seems to...
While horizontal support and resistance lines receive most of the attention, it is the non-horizontal ones that actually are most relevant when determining the price action in any given time-frame. The $BTC daily RSI was just reset and we are currently seeing the most oversold conditions since 2016. This is the first in a series of three ideas that I will post...