The current condition of the market is called CLIMAX SELLING. Which means that is showing huge selling spike but ending up suddenly reversed.
Why do I think the current market is reversing?
Here are key points to look at:
-> is spiking (showing huge selling spike) and people are panic selling due to the price crashing.
-> Price fell in to "golden zone" of fibonacci (.382 - .618) but end up rejecting .382 fib level by bouncing back to the strong formed by MA200 and 12,900 support.
*MA200 is a great and if you look in the past of the price you can see how much support it has offered.
-> is bottoming and forming .
-> Huge spike ending up forming Pattern (these together is considered as reversal sign) in "CLIMAX SELLING" condition.
When the price has bottomed it has started to build new uptrend slowly and with certainty.
This is a great opportunity to open long term trades and if the price starts falling again, I recommend to wait and seek for another buy opportunity.
TIP: When looking for reversals, do not rely just in one indicator. To do this well and properly it is important to use multiple indicators at the same time.
To learn properly identify reversals, it is also recommended to learn different patterns which are combined with oscillators.
If you need any help with trading or recommendations where to search basics just feel free to leave me DM in here or in my twitter. I try to respond ASAP! :)
Buy: Above 14,300 level
Partial Profit Target: 17,700 level
Main profit targets: Around 20000.00 and 21000.00 levels
Longer term Target: 26,000 level
Stop Loss: 10,700
Things to Remember:
-> Stop-loss orders are strongly recommended.
-> Beware of buying tops or FOMOS, you might end up losing or waiting long periods of time before getting anything back.
-> Do your homework before investing.
Please be aware I am providing this trading information for your benefit and insight to my trading strategies. You are responsible for your trading and investing decisions. It is highly recommended to do your own research before investing anything.
Bitcoin is forming the rising wedge chart pattern on 30min chart. The price is in need for small reversal before moving further upwards.
Bitcoin broke the rising wedge pattern I posted about last night and dropped to .382 level which it quickly rejected and bounced back above support level.
What needs to happen it to break bullish again is to break above MA100 level which would indicate further upward movement.
In other scenario if the price continues downhill, then ideal reversal zone would at support level found at 11,800 level. New entry should be open only on reversal signals and with right volume.
MA100 is currently acting as resistance level. The price needs to break above of the line to see further upward movement. If the price rejects, it will move further downwards. Ideal zones to look for reversals are the support levels + fib .382. MA50 and MA100 crossing would indicate and support further upward movement and possible trend change.
Diamond Reversal pattern + Double bottoms = indicating reversal happening soon? Price needs to be above MA100 level(as posted in prev post) + break neckline and from here it is easier to see where the price is eventually heading to.