Another Double Bottom for Bitcoin? Part 2

Updated

I have moved this analysis to a new chart, seems it was registered under the XBT" charts.

So the wedge failed (partially) as well, this shows the intention of the market was upwards. We can simply sate now, that the 3300/3200 is a level where buyers are stepping again, they like this level to buy it up. That 3320 (green zone on the right did it's work again.
The previous high at 3990 has been broken and now it seems the 3420/40 has been broken as well. My best guess for now is, making a small bull flag. If that happens and it looks good, i think we can move to the 3600. This will be the key level for the double bottom pattern. If it goes like this, we should be able to see the 4000 this week.

To stay objective, there is another version and that is the triangle we can see on the left. If the bulls will fail around this level and start to drop again towards the lows, than we can forget about the W bottom pattern and have to assume the triangle is in play. With a triangle, it can still break both ways, but at this spot, a bearish break is more likely.

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Chart of the last update.

Important chart as well: The one on the right, similar to the 3500/3600 zone

Don't forget to read the previous analysis if you want to be up to date:

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Now it's important that it stays above the 3400/3370

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Small H&S of which the neckline just broke, but if we don't see follow through now, it could turn into a small bullish wedge. This 3380/90 is a support level (yesterday's high). So it prob wont be an easy one to break.

It would fit the picture on the left, the triangle. So i think it's safe to say we are at an important point now. If we move up above the 3450, that triangle is probably not valid anymore

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Here we can see, alts also still need to make another move up to get rid of the bearish pressure of the bear flags. So until that happens, it is still bearish on that side.

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And so the H&S failed and turned into a bullish wedge. Now it's up to the bulls to break the 3450 and with that, also probably that big triangle. That would mean the road towards 3600 might be open.

It's a bullish sign that we bounce up from the 3390, which was yesterday's high

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This can still become a lower high if we don't brake the 3450, which could mean the triangle is valid. So i think we are at an important spot now. Between 3380/90 and 3450

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The selling pressure has increased a bit again, but no high volume. The buying volume earlier today was much higher. So when zooming out a bit, we can see it is around that support zone (yesterday's highs) and there is a very decent chance this move down will turn into a bigger bullish wedge.

That lower sell volume compared to the buy volume i just mentioned, confirms that. If we drop below the wedge pattern, than we can see a quick dump towards the 3300ish again.

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I was a bit to slow with my update, it bounced up very quickly as well, thought it would stay a bit longer around 3380/90. Now we can see the buying volume is more than the selling volume.

In the mean time the OI on Bitmex has been increasing as well the past days. This shows many people are buying again, but of course just as much shorts. So there is a big chance we will see a "big" move again soon. It can be both sides, but i think if we move up and break the 3450, it could be that move to the 3600/3650, neckline of the double bottom.

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Now it need to follow through to above the 3500, not wick like this and drop, because than the triangle on the left stays in play

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Bulls need to keep the pressure on, otherwise it can turn into a Bart move. It already dropped a bit too much too fast. A break of 3420 will make it dangerous. Best for the bulls to hold the current 3440. If they push above the 3500, i think it will squeeze towards the 3600.

The pattern on the left, is something i have seen a million times, since April/May. If that green support breaks, it becomes more likely we test the 3380 again, but dont know if it will hold. One very important note though, each time i saw it, it was in the 6K/7K levels. Don't know it it has happened the past month. This is a pure Bot move, big traders using bots to play this Bart move. At the moment bulls are pushing. So if they can push it above the 3500, i think these people will buy there shorts back as well.

So it's up to the bulls now, if they have enough buy volume they will win. I really hope they win, not because of my analysis, but i would hate to see these people being back again with their shitty bots manipulating things again.

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Normally it used to move more horizontal, that small "bear" flag, so it could be just a coincidence. But i have seen it too many times to ignore it.

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It's not a beauty, but volume is correct for a wedge. So could be this is another one. It has been taking too long, but it is still inside the pattern (speed) of the potential W bottom.

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Here we can see on the right that the trend line has been broken. With 3430 being a resistance now. 3380ish is an important level for now.

On the left, it seems that channel i have used for a while now, is still in play. It could all be a coincidence

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New Bitcoin analysis:

W Bottom failed, Turned into a Bearish or Bullish Triangle?

botje11

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