Hello everyone, rouzwelt here
Here is an update on Bitcoin in hourly timeframe. Well let's begin by stating that Bitcoin is still inside the uprising channel (yellow channel) although it is still rising, we don't see any definitive move from either buyers or sellers, price doesn't move that much and this makes trading difficult at this point. Let's take a look at the chart and as you can notice the upward impulse moves are getting smaller and weaker as we are going higher, and also we don't see enough volume and demand at those impulses, actually you can clearly see that the volume of each upward impulse is a little bit lower than the previous one. Well let me say it this way that, I still think the same as my previous posts, I still don't see increase in demands and still believe that Bitcoin is more likely to head to lower levels and if I want to enter on a trade I would go short, but I'm open to change my mind at anytime as soon as buyers start to show more interest and we see more demand.
But I'd like to mention something else here, and that is that we actually don't see much work from sellers either, either they are getting weaker or they are waiting for a better opportunity to strike again with power, cause their last 3 4 attempts to break 30k support level has failed and buyers managed to bring the price back up inside 30/40k range.
The whole last week price action was in my opinion boring, we didn't see much, just mainly sideways move with a bit of uprise which is not worth the risk to trade, I actually entered one long scalping trade, but you can clearly see that the correction of each impulse move was so big compared to the impulse size itself that made me exit from my trade and consider not taking the risk of going long again until I see a more definitive action form bulls or bears.
I have projected the probable price actions in the chart (red and green arrows), right now technically speaking bitcoin is at its impulse move up inside the channel, so we can expect higher highs to get printed, until the price reaches to the upper side of the channel and then starts its correction move to the lower side (green arrow), I'm not personally going to open any long positions if we see this kind of move from bitcoin. But I believe there is a good chance that price might not manage to break above its last swing high, because that's actually sitting on 0.618 fib retracement in line with 36.5K resistance level, which makes it a strong resistance and if this happens then it'll be forming a double top which is a good indication of beginning of the next definitive move, but lack of volume may result in a dump even sooner before ever reaching that level again (red arrows).
So I personally will be waiting for a clear definitive move form either buyers or sellers before I enter any trade at this moment and the confirmation for that would be the yellow channel breakout. I hope you find this post informative and if you do then please support me by hitting like and share, and comment if have any opinion about my analysis, I would appreciate that a lot.
And as always have fun and trade safe.
Here is an update on Bitcoin in hourly timeframe. Well let's begin by stating that Bitcoin is still inside the uprising channel (yellow channel) although it is still rising, we don't see any definitive move from either buyers or sellers, price doesn't move that much and this makes trading difficult at this point. Let's take a look at the chart and as you can notice the upward impulse moves are getting smaller and weaker as we are going higher, and also we don't see enough volume and demand at those impulses, actually you can clearly see that the volume of each upward impulse is a little bit lower than the previous one. Well let me say it this way that, I still think the same as my previous posts, I still don't see increase in demands and still believe that Bitcoin is more likely to head to lower levels and if I want to enter on a trade I would go short, but I'm open to change my mind at anytime as soon as buyers start to show more interest and we see more demand.
But I'd like to mention something else here, and that is that we actually don't see much work from sellers either, either they are getting weaker or they are waiting for a better opportunity to strike again with power, cause their last 3 4 attempts to break 30k support level has failed and buyers managed to bring the price back up inside 30/40k range.
The whole last week price action was in my opinion boring, we didn't see much, just mainly sideways move with a bit of uprise which is not worth the risk to trade, I actually entered one long scalping trade, but you can clearly see that the correction of each impulse move was so big compared to the impulse size itself that made me exit from my trade and consider not taking the risk of going long again until I see a more definitive action form bulls or bears.
I have projected the probable price actions in the chart (red and green arrows), right now technically speaking bitcoin is at its impulse move up inside the channel, so we can expect higher highs to get printed, until the price reaches to the upper side of the channel and then starts its correction move to the lower side (green arrow), I'm not personally going to open any long positions if we see this kind of move from bitcoin. But I believe there is a good chance that price might not manage to break above its last swing high, because that's actually sitting on 0.618 fib retracement in line with 36.5K resistance level, which makes it a strong resistance and if this happens then it'll be forming a double top which is a good indication of beginning of the next definitive move, but lack of volume may result in a dump even sooner before ever reaching that level again (red arrows).
So I personally will be waiting for a clear definitive move form either buyers or sellers before I enter any trade at this moment and the confirmation for that would be the yellow channel breakout. I hope you find this post informative and if you do then please support me by hitting like and share, and comment if have any opinion about my analysis, I would appreciate that a lot.
And as always have fun and trade safe.
