Bitcoin Critical Support; 3H + 1D Heffae's Clouds analysis
Bitcoin USD has been grinding along Heffae's Clouds Daily cloud support as shown in the left pane of the screenshot.
First; the 8H timeframe has been weakened and violated over the last 3 days:
Price has broken out of the 8H cloud bottom. Historically strong path-fitting took great effort to break. Observe candles closing just outside of cloud path, but path putting up a fight. Price continued to battle; but weakened 8H path eventually violated.
Here is an analysis of what Heffae's Clouds is saying for the 3H and Daily timeframes:
The Daily cloud intercloud lines are spread out, with loose critical support in the 6900-7400 area.
When intercloud lines are banded close together, this indicates a much stronger support / resistance.
Loose banding, spread out lines indicates weak support.
see:
The 3Hour cloud has already made an accurate prediction and the path-fiting is highly verified. Look at the cloud bottom, along the path created by the FAST (blue) line. The line sharply spikes down where the 3H bar is currently at. The next frame shows the FAST (blue) cloud turning up sharply, indicating a hard reversal during this candle. This is substantiated by 3H RSI values. I do not expect this to have continuation, but it does mark a good entry point for potential longs or scalps.
Synopsys: 8H cloud violated which is a huge loss for the bullish, as the 8H cloud was turning up and, if followed, would have pushed price back into 9600 - 9800 range, along with daily cloud support.
Daily cloud top support is taking a beating, and it looks weak to begin with. I do not expect the daily top to hold much longer
3H cloud shows promise in short-term rally, which offers a bit of hope if price is drawn up along the underside and given a chance to fight for the realtime 3H low @ 8550.
Daily Realtime low @ 8760 and turning down will be substantial resistance and is a good target for short entry if the price manages to make it back there.
3Day cloud is looming over the top of all this action with a nasty bearish color change:
All-in-all it looks bad for BTCUSD, and the clouds indicate that we should start (or should have) been building a hedge position in this area.
Look in the comments for updates, as these Support and Resistance thresholds are dynamic and sentiment may change depending on where wicks land / candles close.
First; the 8H timeframe has been weakened and violated over the last 3 days:
Price has broken out of the 8H cloud bottom. Historically strong path-fitting took great effort to break. Observe candles closing just outside of cloud path, but path putting up a fight. Price continued to battle; but weakened 8H path eventually violated.
Here is an analysis of what Heffae's Clouds is saying for the 3H and Daily timeframes:
The Daily cloud intercloud lines are spread out, with loose critical support in the 6900-7400 area.
When intercloud lines are banded close together, this indicates a much stronger support / resistance.
Loose banding, spread out lines indicates weak support.
see:
The 3Hour cloud has already made an accurate prediction and the path-fiting is highly verified. Look at the cloud bottom, along the path created by the FAST (blue) line. The line sharply spikes down where the 3H bar is currently at. The next frame shows the FAST (blue) cloud turning up sharply, indicating a hard reversal during this candle. This is substantiated by 3H RSI values. I do not expect this to have continuation, but it does mark a good entry point for potential longs or scalps.
Synopsys: 8H cloud violated which is a huge loss for the bullish, as the 8H cloud was turning up and, if followed, would have pushed price back into 9600 - 9800 range, along with daily cloud support.
Daily cloud top support is taking a beating, and it looks weak to begin with. I do not expect the daily top to hold much longer
3H cloud shows promise in short-term rally, which offers a bit of hope if price is drawn up along the underside and given a chance to fight for the realtime 3H low @ 8550.
Daily Realtime low @ 8760 and turning down will be substantial resistance and is a good target for short entry if the price manages to make it back there.
3Day cloud is looming over the top of all this action with a nasty bearish color change:
All-in-all it looks bad for BTCUSD, and the clouds indicate that we should start (or should have) been building a hedge position in this area.
Look in the comments for updates, as these Support and Resistance thresholds are dynamic and sentiment may change depending on where wicks land / candles close.
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