BitcoinShort
Btc case study 9 where is the buy zone
OK guys I think it's time we start diving into the reversal of this down trend
We are close to 30 000
There is a slight possibility that this can be the buy zone for btc but we are not sure enough to make that assumption
Reason being
So far bitcoin has disabled hammers bullish signals bullish setups and so forth.
So we need to be careful here not to press that button to early.
This analysis will be to see what possibilities there are for a buy and how much downswing we can still expect form bitcoin
So let's get started
QUESTION IS WHAT ARE WE LOOKING AT RIGHT NOW
what are we looking at
We need to state the obvious to get a picture of the hidden information with in the patterns we are seeing in the price action
So what do we know.
We know the trend is down
We know we had a break out on a symmetrical triangle
We know we are reaching the support area at 30 0000
We know the rsi is under 30 and the adx is extremely bearish at this point
As pointed out before a strong adx means we don't look at the rsi at this point.
We also know that so far all case studies have proven that there is more down swing In btc in terms of the following
1. Elliot wave pattern confirmation on 4h time frame and daily
2. We saw a few bearish wedges with in the symmetrical triangle that confirmed more down swing
3. We saw a complex correction final wave E conforming the drop on a short term wave pattern and the beginning of the last wave on the daily.
4. We know that the weekly shows signs of a continuation pattern
5. We also know there is a head and shoulders in the making on the daily and weekly that could lead to more downswing
So with all that said I don't think any more needs to be said right now.
IF WE TAKE ALL INFO INTO ACCOUNT THAT HAS BEEN CONFIRMED INTERMS OF PATTERNS AND INDICATORS AND CANDLE STICK PATTERNS
ARE WE GOING TO SEE A BUY AT 30 000
I WOULD SAY THE CHANCES ARE MORE LIKE 30 TO 40 PERCENT.
WHY NO BUY AT 30 000
the first sign is the candle that touched the support level on 19may 2021
What candle patterns are we seeing at this level and what do we see on higher time frames.
Do we see a hammer doji spinning top dar cloud cover or morning star.
THE 4h time frame shows a hammer like formation but the issue is the candle that follow we do not see nice bullish moment to confirm a strong enough entry of bullish to support any strong bullish movement.
We also know this rejection of bears at this level was the reason why we saw the symmetrical wedge pattern
THE pinbar we are seeing at this level is confirming support with all other subsequent returns to this point but the question is
What is the diffrence between what we seeing now and what we saw during the rally.
During the rally the trend was up buyers where strong indicators where bullish
This seems like a reversal of what we had before.
Besides that the hammers and bullish signals all failed on previous buy signals on the way down.
So what happened here or what is happening here.
Any how.
With all this said let's keep our eye on 30 000 and see if a buy can be confirmed
I would say it's time to look and see what happens.
TO BE CONTINUED
We are close to 30 000
There is a slight possibility that this can be the buy zone for btc but we are not sure enough to make that assumption
Reason being
So far bitcoin has disabled hammers bullish signals bullish setups and so forth.
So we need to be careful here not to press that button to early.
This analysis will be to see what possibilities there are for a buy and how much downswing we can still expect form bitcoin
So let's get started
QUESTION IS WHAT ARE WE LOOKING AT RIGHT NOW
what are we looking at
We need to state the obvious to get a picture of the hidden information with in the patterns we are seeing in the price action
So what do we know.
We know the trend is down
We know we had a break out on a symmetrical triangle
We know we are reaching the support area at 30 0000
We know the rsi is under 30 and the adx is extremely bearish at this point
As pointed out before a strong adx means we don't look at the rsi at this point.
We also know that so far all case studies have proven that there is more down swing In btc in terms of the following
1. Elliot wave pattern confirmation on 4h time frame and daily
2. We saw a few bearish wedges with in the symmetrical triangle that confirmed more down swing
3. We saw a complex correction final wave E conforming the drop on a short term wave pattern and the beginning of the last wave on the daily.
4. We know that the weekly shows signs of a continuation pattern
5. We also know there is a head and shoulders in the making on the daily and weekly that could lead to more downswing
So with all that said I don't think any more needs to be said right now.
IF WE TAKE ALL INFO INTO ACCOUNT THAT HAS BEEN CONFIRMED INTERMS OF PATTERNS AND INDICATORS AND CANDLE STICK PATTERNS
ARE WE GOING TO SEE A BUY AT 30 000
I WOULD SAY THE CHANCES ARE MORE LIKE 30 TO 40 PERCENT.
WHY NO BUY AT 30 000
the first sign is the candle that touched the support level on 19may 2021
What candle patterns are we seeing at this level and what do we see on higher time frames.
Do we see a hammer doji spinning top dar cloud cover or morning star.
THE 4h time frame shows a hammer like formation but the issue is the candle that follow we do not see nice bullish moment to confirm a strong enough entry of bullish to support any strong bullish movement.
We also know this rejection of bears at this level was the reason why we saw the symmetrical wedge pattern
THE pinbar we are seeing at this level is confirming support with all other subsequent returns to this point but the question is
What is the diffrence between what we seeing now and what we saw during the rally.
During the rally the trend was up buyers where strong indicators where bullish
This seems like a reversal of what we had before.
Besides that the hammers and bullish signals all failed on previous buy signals on the way down.
So what happened here or what is happening here.
Any how.
With all this said let's keep our eye on 30 000 and see if a buy can be confirmed
I would say it's time to look and see what happens.
TO BE CONTINUED
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.