BitcoinLong
Update on my idea from Monday
Just to update on my idea from Monday , nothing at all has changed. We still have a massive bullish divergence after a healthy pullback in a parabolic uptrend. Also notice that as we have gone sideways on the 12-hr chart, the stochastic RSI has dropped precipitously, which is typically a very bullish sign. If and when we break the top purple line at around 35,200, I believe we will start a new uptrend to the the previous high at around 41K.
At that point, we'll very likely paint a bearish divergence and drop back down to the upward sloping trendline (black). I believe we are painting a large ascending triangle that will form over the next week and break out some time later this month with an ultimate target of around 52K, after which we will finally get our big 50% drop back down to the lower 20ks. Yes - there is also a potential bearish head & shoulders forming which everyone and their grandmother has pointed out. But in a clear uptrend I'm always going to trust a bullish pattern painted on a higher time frame than a bearish pattern painted on a lower time frame. If that head & shoulders does indeed play out, though, which it could, the ultimate target would be the the pink line at around 20K.
At that point, we'll very likely paint a bearish divergence and drop back down to the upward sloping trendline (black). I believe we are painting a large ascending triangle that will form over the next week and break out some time later this month with an ultimate target of around 52K, after which we will finally get our big 50% drop back down to the lower 20ks. Yes - there is also a potential bearish head & shoulders forming which everyone and their grandmother has pointed out. But in a clear uptrend I'm always going to trust a bullish pattern painted on a higher time frame than a bearish pattern painted on a lower time frame. If that head & shoulders does indeed play out, though, which it could, the ultimate target would be the the pink line at around 20K.
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