Bitcoin has bounced slightly off the $6,880-$6,750 support. It rose to yesterdays high before hitting resistance. If bitcoin can break above $7,200, I believe it will quickly rise to $7,400. Today’s daily candle looks very bullish, but we don’t have the volume to back it up.
Looking at the daily chart, we can see price is still sitting on top of the 50 day MA. If price decisively drops below, I expect a rapid drop to $6,350. The 8 day EMA dropped below the 21 day EMA...showing continued weakness.
I see 2 very possible, but very different counts in play. If we see volume increase and new buyers enter the market, we can expect a very impulsive third wave. Mixing in a little fundamental analysis...I believe new buyers are waiting for bullish news from the SEC. If such news comes out...or rumors of such news, I’d target the 1.618 fib for wave 3. That would be approximately $11,320 depending on your exchange. Here’s how it might play out:
From a bears perspective we're also seeing market structure. The latest bull run up to $8,500 bounced perfecting off the 0.618 fib...suggesting the bears still have a good amount of control. If this count is accurate, we could see a slight rise to complete wave 4, followed by an impulsive wave 5 that targets approximately $5,803.
In today’s video analysis I discuss...short term price movement, traps to avoid, where I’m considering entering a position and MUCH more. If you’re not watching my videos, you’re only getting a small part of the story.
Video Analysis:
If you’re viewing this on a site other than Steemit, and you don’t see the above video, navigate to Steemit or https://mentormarket.io/profile/@workin2005?aff_id=Workin2005 in order to watch.
BIAS:
Short Term: Neutral
Longterm: Very Bullish
I hope this has been helpful. I’d be happy to answer any questions in the comment section below. Until next time, wishing you safe and profitable trading!
Workin
If you found this post informative, please:
If you don’t have an account on Binance, I STRONGLY recommend getting one. They’re usually the first to get reputable coins, have excellent security and second to none customer service. Sign up here free of charge: https://www.binance.com/?ref=16878853
Brave is one of the safest, ad free browsers ever created. It helps support the crypto ecosystem by awarding content providers with BAT tokens. Join the revolution and download the latest version here, free of charge: https://brave.com/wor485
Follow me on Twitter (handle is @Workin2005) and Facebook to receive the latest updates. https://www.facebook.com/Workin2005. Also, make sure to check out TIMM (Traders & Investors Mentor Market), a STEEM based platform for traders and investors of all levels. You can find the link to TIMM below.
Published on
by Workin2005
Great analysis as always. I'd weight the prediction about 90/10 in favour of the bearish scenario. Hopefully the next down leg will be the final time I have to take the side of the bears. I do see another dip after this, but I doubt it will be quite as low - bullish sentiment will start to become more apparent in the market.
Thanks. Yep...the bears are in control. We need some kind of catalyst before new money enters the market. As I said in my video analysis yesterday, you’ll know when the real bull run starts when you see daily volume spike above $10 billion. Until then, it’s just the same old people exchanging the same old money.
I think the bears will bring another pullback but I will say for the last time before the bulls take over for a long time.
As far as new money entering the market I wonder about the theory that the stock market will crash and all the money will be brought into cryptos.
I believe the US economy is on thin ice. Politicians have spent ludicrous amounts of money over the past 2 decades. This has lead to a debt crisis I don't think is possible to recover from. Will that money flow into crypto? Very possible.
That's indeed an interesting theory, one I've often wondered about. I think that were the market to crash today then it wouldn't happen; crypto isn't mature or trusted enough yet. But six months from now, perhaps a year or more, who knows, it could well occur!
King is the king BTC is King