BTC/USD appears to be in a corrective move. Price has recently been trading within a rangebound structure, between a horizontal support zone at 9300, and a upper horizontal resistance at 14100.
Price is picking up momentum to the downside. Price is weakened and there is a possibility of testing the bottom support boundary at 9300. If this happens it would show a weakness in the pair from a technical perspective.
I am expecting Bitcoin to either have a 3 wave up move from current levels, or a correction to the long term structure before the upside.
This trade could play out in 2 days, I have outlined these below:
-Price finds support at the minor consolidation zone, at 11300. If price successfully supports here, it would show a massive enthusiasm for Bitcoin, and this would ignite a very strong up move, which will bring price to the target at 14730. -Price breaks down, hits the longer term horizontal support zone at 9300 before retesting, and coming back to the upside. If this set up plays out, I am expecting the up move to the upside horizontal target zone.
Bare in mind, the first scenario above is preferred to the second. The first scenario indicates that there is momentum in the short term, which is what Bitcoin needs. If this set up plays out, I believe we will need a significant amount of volume.
If price retests the lower support, it will still bounce and go to the upside. But, to reach the horizontal upside target at 14100 might prove more difficult, as we would need significant bullish participation for an extended period of time to reach the level.
I will updating this analysis if it receives more than 40 likes.
Bình luận
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Price is showing some nice bullish pressure after breaking the support. On the way to the second support zone it looks like a nice bull base, where (At least for the short term) we will see the upside a bit more.
I shorted, but in my whole life I shorted BTC 7 times, and 7 times I ended up losing, hopefully the 8th one is the lucky one !
Giovi6969
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The market is too unstable in my opinion for trading at the moment.
I don't even want to trade the waves.
Bitflyer allowed in Eu made a quick but kinda shy raise of the markets, the bearish trend seems still here and market sentiment seems to very quickly fall down even after decent news.
I'm doing a pause right now, i think we are on a small bull trap and it will keep on going down slowly.
darkandblue
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looks like 11.3k will not be holding too long
TomProTrader
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@retiringsoon1, Agreed. Done. Now waiting for next support below before any new buys.
I think we are going lower to your support level as we just made another death cross on the hourly.
Plus, a final correction to the 9k range will set us up nicely for a new rally.
gusccbb
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Hi, I consulted your opinion about BTC and XRP correlation. I am pessimistic about the evolution of this market in the medium term. I am not a technical analyst but I see that volumes are not recovered and mainly in Asian working hours the market falls and without money flowing I do not understand how it will recover. It seems to me that the time has come to retire for a while from this market and see in February how it behaves. For this I consult you if you estimate a possible rebound of BTC over $ 12300 and of XRP over $ 1.6 in next hours? Tks
Giovi6969
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Im waiting for a 11.000/11.300 double bottom with impatience.
A double bottom at 9300 is more than welcome of course for some Xrp fun time.