Bitcoin, Imaginable Entry-Set-Up When This Shows Up Properly!

4 oct. 2020

Hi Traders Investors And Community, Welcome to this analysis where we are looking at the bitcoin 1-hour timeframe perspective, the recent events, the current formational structure, what we can expect the next times and how possible entry-set-ups can look like. As bitcoin fell down to its recent remaining support at the important psychological 10.000 USD mark this was a good point to cover shorts in the structure which resulted firstly logically into short-squeezes, now bitcoin is at a point where it has to decide if it manages to move above these simple short-squeezes and form some further solid potentials and when it does bitcoin can show up with some decent entry-set-up as I detected in my chart the important levels and likely outcomes we should consider in the current situation and bitcoins destinies.

Looking at my chart you can watch there that bitcoin is just forming this preliminary inverse head and shoulder formation which can prove crucial in the end of the day as it is marking a possible reversal of the past bearish price-action and short-opportunities, bitcoin already formed the left shoulder and the head properly and now is testing the 100-EMA marked in my chart in green which can be the origin for the right shoulder to be formed in the structure as it is marked within my chart, this can happen when bitcoin moves into the validation support marked in blue where a bounce must set in to form the right shoulder properly, here it is necessary that bitcoin really bounces in this level and does not fall below it because this will increase the bearish pressure to the downside and possibly invalidate the formation.

When bitcoin manages to form the right shoulder as expected or it is also possible to form the right shoulder a little bit higher than the validation level this can provide the final breakout and confirmation of bitcoins formation as it will happen with a decisive move above the neckline marked in blue, a pullback to this neckline will also be an optimal price-action, when bitcoin shows up with this it will activate the Fibonacci-price-projection marked in my chart in green, the whole mechanism can be traded either aggressively with immediate entry or conservative with entry after confirmation, although the immediate entry is also possible here the conservative one will be much smarter as it will mark the confirmation of the formation, traders should decide according to individual risk-preferences.

In this manner, thank you for watching, good day my friends, and support for more market insight.
"Good luck is when opportunity meets preparation."

Information provided is only educational and should not be used to take action in the markets.

7 oct. 2020

Note

Bitcoin Reached The Head-And-Shoulder Target As Expected.