Bitcoin Trading On The Verge To Another Continuation!

7 sept. 2020

Hello Traders Investors And Community,

Welcome to this analysis where we are looking at bitcoin 2-hour timeframe perspective, the recent events, the current formational structure and what to expect the next times in bitcoins destiny. Since the heavy bearish breakdowns occurred bitcoin is mingling at the important psychological 10.000 USD mark where the price-moves did not manage to move above resistance till now and forming one lower-high after another, in this case, I detected the important levels we need to consider in this situation and what bitcoin does not have to show when considering a possible bottom forming here, currently there are still some mixed signals with bitcoin however there are other currencies providing better formations at the moment.

Looking at my chart you can watch there bitcoin trading in this possible descending-triangle-formation with the upper-resistance marked with the lower-high trend-line in red where bitcoin provided the last times several lower-highs in the structure, normally such movements are more bearish then bullish, furthermore, we have bitcoin severally testing the 10.000 USD level and also forming one lower low after another below this level, the more bitcoin is testing this the weaker it gets, therefore the 10.000 USD mark is a highly important mark to hold and when bitcoin closes below it with an decisive candle this will trigger the stop-losses in the zone marked in my chart, currently, we should not take this scenario by side.

The only thing which can provide a bullish shape for bitcoin to continue on the short-term firstly is a volatile candle with the proper volume above the 20-EMA marked in grey and above the falling-resistance lower-high trend-line marked in red, when bitcoin shows up with this it is also the best case when bitcoin pulls-back to confirm this resistance as support to move further, at the moment this is what bitcoin needs to show to confirm a possible bottom and bullish movements otherwise it can still continue to the downside, this is what we should not ignore in the structure as technically speaking there are more than one factor playing into the bearish continuation to the downside what holds the price currently still up is the 10.000 USD mark.

In this manner, thank you for watching, support for more market insight, good weekend to you and all the best!
"Trading effectively is about assessing possibilities, not certainties."

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