BTC: is this a "fake" dump?
we weren't quite in the overbought zone yet (normal RSI) and suddenly this dump happens... Daily and hourly timeframes suggest unnatural behavior. The dump obviously caused a dip in the stoch RSI which no other local minimum (hourly candles) is going to be able to surpass unless a cascade of dumps follow immediately or we go near zero trading volume during the day. So some bullish divergence could show up in the charts soon.
Obviously, if a cascade of dumps happen, both RSI and stoch RSI would tank, indicating us to GTFO and not touch BTC with a ten foot laser beam until both indicators go into the oversold zone.
If I'm right and the dump is not quite organic, both a inverted head and shoulders and a major bull flag offer long targets around 8200€. Notice that the white line that's drawn along the necklace of the head and shoulders has shown previously as a support/resistance in the left zone of the chart, so it wouldn't be unreasonable to think we'd bounce off of it and stay in the green wedge; which we left yesterday. I didn't move it from the previous chart yet, so I guess today I'll get confirmation wether it holds up or not.
Not suggesting to go long blindfully, but 15% gains could be on the menu for intrepid traders. Watch indicators carefully in daily-4h-1h charts so you don't miss any perspective and get caught in bad trades.
Good luck everyone!
Obviously, if a cascade of dumps happen, both RSI and stoch RSI would tank, indicating us to GTFO and not touch BTC with a ten foot laser beam until both indicators go into the oversold zone.
If I'm right and the dump is not quite organic, both a inverted head and shoulders and a major bull flag offer long targets around 8200€. Notice that the white line that's drawn along the necklace of the head and shoulders has shown previously as a support/resistance in the left zone of the chart, so it wouldn't be unreasonable to think we'd bounce off of it and stay in the green wedge; which we left yesterday. I didn't move it from the previous chart yet, so I guess today I'll get confirmation wether it holds up or not.
Not suggesting to go long blindfully, but 15% gains could be on the menu for intrepid traders. Watch indicators carefully in daily-4h-1h charts so you don't miss any perspective and get caught in bad trades.
Good luck everyone!
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