Bitcoin and the "flavour of the year" area.
Hey all, how are you? I hope you are doing great. here, I will explain it to you about my thought on bitcoin.
based on my TA, Bitcoin is moving downward on yellow area, which means that bitcoin is touching the price action area and it usually become a relatively strong support. beside that, the RSI is incredibly low on 4h chart and it is moving away from EMA 200 on 4h chart, if we see the movement like that, clearly there is a buying signal and ready for reversal even it might be a little bounce in it.
so here is the sign if we assume Bitcoin is already in buying area :
1. RSI on 4hr chart is incredibly LOW
2. the price is moving away from EMA 200, we know that if the price is moving away from EMA, it will come back to the level when EMA is formed.
3. the price is moving downward to the price action area and it is usually become a strong support
That is the sign that we need to open long position / buy the bitcoin, but the biggest question is : "ARE THOSE SIGNs ENOUGH TO MAKE ME COMFORTABLE TO OPEN LONG?" and deep in my feeling, logic and thoughts I am not so sure that bitcoin will bounce soon. why? let me explain below
I have more than 7 years experience in trading world in forex, binary, ETF, options stock and of course cryptocurrency. when you have done a lot of trade experience like me, you will always have such a pesimistic feeling whenever you open your position whether it is on crypto, forex, options, etc. and this is my feeling on bitcoin.
1. everytime we see a lot drop on whatever price even it is on crypto, forex, or options , it is likely to form a divergence at least on RSI ! and on bitcoin I haven't seen it yet. Yes there was a divergence before in 1h chart, but the price actions wasn't confirmed. all I want is it must have a divergence on price actions area at least on RSI!
2. I always make a note in every trade that I am in even if it is a loss or a profit and make it a statistic on my own. and my statistic this year is THE MOST COIN IS LIKELY TO BOUNCE AFTER IT TOUCHED THE 78.6% FIBONACCI RETRACEMENT AREA. so based on the statistic that I have made, I consider that 78.6% area is THE FLAVOUR OF THE YEAR for cryptocurrency.
So, the conclusion is this :
I will feel more comfortable to open my long position if bitcoin touch the 78.6% retracement ($6200 area)and it make a sign of divergence at least on RSI whether it is on 1h, 2h, 3h, or 4h chart and the MACD histogram is stepping up with the line crossing up on negative area.
That's all my thought about bitcoin and thank you for your attention, if you have any question regarding technical analysis etc, please don't feel hestitate to PM me on my trading view. hope you all doing great.
based on my TA, Bitcoin is moving downward on yellow area, which means that bitcoin is touching the price action area and it usually become a relatively strong support. beside that, the RSI is incredibly low on 4h chart and it is moving away from EMA 200 on 4h chart, if we see the movement like that, clearly there is a buying signal and ready for reversal even it might be a little bounce in it.
so here is the sign if we assume Bitcoin is already in buying area :
1. RSI on 4hr chart is incredibly LOW
2. the price is moving away from EMA 200, we know that if the price is moving away from EMA, it will come back to the level when EMA is formed.
3. the price is moving downward to the price action area and it is usually become a strong support
That is the sign that we need to open long position / buy the bitcoin, but the biggest question is : "ARE THOSE SIGNs ENOUGH TO MAKE ME COMFORTABLE TO OPEN LONG?" and deep in my feeling, logic and thoughts I am not so sure that bitcoin will bounce soon. why? let me explain below
I have more than 7 years experience in trading world in forex, binary, ETF, options stock and of course cryptocurrency. when you have done a lot of trade experience like me, you will always have such a pesimistic feeling whenever you open your position whether it is on crypto, forex, options, etc. and this is my feeling on bitcoin.
1. everytime we see a lot drop on whatever price even it is on crypto, forex, or options , it is likely to form a divergence at least on RSI ! and on bitcoin I haven't seen it yet. Yes there was a divergence before in 1h chart, but the price actions wasn't confirmed. all I want is it must have a divergence on price actions area at least on RSI!
2. I always make a note in every trade that I am in even if it is a loss or a profit and make it a statistic on my own. and my statistic this year is THE MOST COIN IS LIKELY TO BOUNCE AFTER IT TOUCHED THE 78.6% FIBONACCI RETRACEMENT AREA. so based on the statistic that I have made, I consider that 78.6% area is THE FLAVOUR OF THE YEAR for cryptocurrency.
So, the conclusion is this :
I will feel more comfortable to open my long position if bitcoin touch the 78.6% retracement ($6200 area)and it make a sign of divergence at least on RSI whether it is on 1h, 2h, 3h, or 4h chart and the MACD histogram is stepping up with the line crossing up on negative area.
That's all my thought about bitcoin and thank you for your attention, if you have any question regarding technical analysis etc, please don't feel hestitate to PM me on my trading view. hope you all doing great.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.