Hello traders,
Looking at daily chart for Bitcoin, we start to see that daily consolidation has started.
This morning, Bitcoin tested psychological $4000 level, but it was rejected with fairly high volume. What I see here is potential inverse head and shoulders formation in Bitcoin, and it is highly probable that Bitcoin will test $3800 once again.
Here are few reasons:
1) RSI oversold, need to cool down RSI before next bullish breakout. I will start accumulate Bitcoin again around 38..2% retracement which is around $3760-$3800 region. This region may also coincide with the orange trendline that I drew in the chart.
2) Volume is still lacking: Despite red trendline breakout, the volume is not correlating the excitement. I think this is because institutional traders are looking for real macro-trend reversal signals before they will get in. (macro-higher high)
In case of this potential inverse head and shoulders breakout the next target is roughly around $4600 where we see 200 DMA. (also 50% retracement will overlap with $4000)
Stop: $4000
Happy trading!!
Looking at daily chart for Bitcoin, we start to see that daily consolidation has started.
This morning, Bitcoin tested psychological $4000 level, but it was rejected with fairly high volume. What I see here is potential inverse head and shoulders formation in Bitcoin, and it is highly probable that Bitcoin will test $3800 once again.
Here are few reasons:
1) RSI oversold, need to cool down RSI before next bullish breakout. I will start accumulate Bitcoin again around 38..2% retracement which is around $3760-$3800 region. This region may also coincide with the orange trendline that I drew in the chart.
2) Volume is still lacking: Despite red trendline breakout, the volume is not correlating the excitement. I think this is because institutional traders are looking for real macro-trend reversal signals before they will get in. (macro-higher high)
In case of this potential inverse head and shoulders breakout the next target is roughly around $4600 where we see 200 DMA. (also 50% retracement will overlap with $4000)
Stop: $4000
Happy trading!!
Trade fermée: cible de profit atteinte:
As expected, Bitcoin reached $3800 again!
