BUY - take off after consolidation?
Virtual protocol completed a strong correction from $5.1 to $2.2. The price fell to the key Fib zone (Blue Fib line in the chart) bounced up with a strong bullish candle formation in the 4H chart.
The price broke and closed above the descending parallel channel as well as Fib 0.236 (orange Fib line in the chart). As I mentioned in my last article, when the price breaks above Fib 0.236, there is a good probability it continues to move to Fib 0.5-0.618 area. If it only reaches 0.382 and retraced back down, it usually means that it is a continuation of the bear trend (at least in my past observation.)
In this case, the price shot up to Fib 0.618 but now it is pulling back. Given that there are two layers of sell blocks sitting above the Fib 0.618 area, there is no surprise the price is coming now.
All momentum indicators in the 4H chart have reached the overbought territory and are moving downwards. However, both Daily and 4H MACD are way above 0, so I interpret it as the dominant trend is bullish but it is a correction phase.
If the price is going to move in the classic style, I anticipate it is likely to oscillate between $3-$4 range. And once the 4H momentum indicators reset and start to move upwards, it is going to start another leg up to and beyond the previous ATH.
There are many "IF". It all depends on when Bitcoin decides its decisive move. But my overall bias for Virtual and crypto market in general is very bullish.
I have been holding Virtual last year (purchase price is about $0.50) and I haven't sold any. I might start taking profit in stages when the daily MACD or RSI starts to form a clear negative divergence.
The price broke and closed above the descending parallel channel as well as Fib 0.236 (orange Fib line in the chart). As I mentioned in my last article, when the price breaks above Fib 0.236, there is a good probability it continues to move to Fib 0.5-0.618 area. If it only reaches 0.382 and retraced back down, it usually means that it is a continuation of the bear trend (at least in my past observation.)
In this case, the price shot up to Fib 0.618 but now it is pulling back. Given that there are two layers of sell blocks sitting above the Fib 0.618 area, there is no surprise the price is coming now.
All momentum indicators in the 4H chart have reached the overbought territory and are moving downwards. However, both Daily and 4H MACD are way above 0, so I interpret it as the dominant trend is bullish but it is a correction phase.
If the price is going to move in the classic style, I anticipate it is likely to oscillate between $3-$4 range. And once the 4H momentum indicators reset and start to move upwards, it is going to start another leg up to and beyond the previous ATH.
There are many "IF". It all depends on when Bitcoin decides its decisive move. But my overall bias for Virtual and crypto market in general is very bullish.
I have been holding Virtual last year (purchase price is about $0.50) and I haven't sold any. I might start taking profit in stages when the daily MACD or RSI starts to form a clear negative divergence.
Transaction en cours
Go to 1H chart. The price is bouncing off of Fib 0.382. Good chance for the price to move up from there. Btc is taking off, so the rest of the crypto might start to move.Trade fermée: cible de profit atteinte
The price has come down to Fib 0236 level ($2.89) and are moving up. 4H stochastic has reset and moving upwards. 4H MACD is showing some strength to return to the bull zone, but still staying in the bear zone.
It is a big week for crypto with the new pro crypto US president coming into the office. Therefore, the overall sentimental for the crypto market should be pretty bullish.
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