BTC is trying to regain 10 Daily EMA and testing the upper line of the descending channel. Price pulled back right after hitting 51k level. The price posturing shows both bullish and bearish potential, so this could turn out to be a trap on both long and short end to shake out anyone looking for a scalp. Let's look at the price pattern.
1. Since Feb 22 drop, the candles are forming a cup and handle pattern. Last time this pattern played out 50% to the upside on a breakout on Feb 8th. Can this happen again?
2. Price is still traveling within the descending channel. The recent move only tested the top end of the channel. Could this mean the test on the bottom end is next?
3. Moving averages going back to the bullish postures. Can those provide enough support for a breakout?
4. Stochastics ready to curl down from under 50 level, so downside pressure is still on. Will price plunge back to 40k?
5. MACD histogram is dragging to get back up into positive level. Since the negative crossover, price has moved mainly sideways. So, that is a bullish sign, when energy shifts positive, it could mean a hefty move to the upside. Can a momentum shift happen soon?
6. RSI is moving on the neutral area, trying to regain the moving average support. Last time moving average was regained, the cup and handle breakout was initiated. Can this happen again?
So what to do now? I am watching the following:
1. If RSI MA is regained with MACD histogram turning green and price moving above the channel, it's go time. Cup and handle target 62k and beyond
2. If stochastics curl down and RSI MA test fails with price still stuck in the channel, It is time to wait and watch for the next move.
3. Long term is still not bearish until 50 MA is broken and turns as resistance.
1. Since Feb 22 drop, the candles are forming a cup and handle pattern. Last time this pattern played out 50% to the upside on a breakout on Feb 8th. Can this happen again?
2. Price is still traveling within the descending channel. The recent move only tested the top end of the channel. Could this mean the test on the bottom end is next?
3. Moving averages going back to the bullish postures. Can those provide enough support for a breakout?
4. Stochastics ready to curl down from under 50 level, so downside pressure is still on. Will price plunge back to 40k?
5. MACD histogram is dragging to get back up into positive level. Since the negative crossover, price has moved mainly sideways. So, that is a bullish sign, when energy shifts positive, it could mean a hefty move to the upside. Can a momentum shift happen soon?
6. RSI is moving on the neutral area, trying to regain the moving average support. Last time moving average was regained, the cup and handle breakout was initiated. Can this happen again?
So what to do now? I am watching the following:
1. If RSI MA is regained with MACD histogram turning green and price moving above the channel, it's go time. Cup and handle target 62k and beyond
2. If stochastics curl down and RSI MA test fails with price still stuck in the channel, It is time to wait and watch for the next move.
3. Long term is still not bearish until 50 MA is broken and turns as resistance.
تعليق:
Hasn't this played out nicely?
