Head and shoulders reversal similar to 2017/18 capitulation
Updated
Hello everybody.
I am seeing a fractal from the original dump down to 6k that will take us to the 8ks again in the short term, before quite probably continuing the downtrend. Maybe we'll print one last lower high before an even deeper eventual dump below 3k. Or the whole structure is a big bullish wedge. Either way a double top after 8ks and some more consolidation would be expected and neutral. After that we'd need something else to prove that the bear market is truly over and take us out of this rinsing cycle that keeps going on. I've been in this market a long time and for me it is just clear as day what is happening.
I think the similarities are pretty clear with the V shape low after a big dump. Have a scroll and see what else is similar. Bitcoin tends to love following fractals during panic moments because it's still the same people who are manipulating the market... maybe one or two more joined the group and some left, but it's all the same.
Another similarity is that it just bounced from a major downsloping trendline in white, same as now, and similar oversold RSI level before a relief rally.
One thing that concerns me about this fractal is that during the 2017/18 dump there was bullish divergence on the RSI at the time the right shoulder was forming, however this time the RSI is creating lower highs. Ideally we would like to see a high volume breakout and the RSI make a higher high and low.
Targets are on the graph. Buy on breakout. Oh and I bought TV pro during the sale so enjoy the side by side charts. Yay!
Please don't forget to leave a like!
I am seeing a fractal from the original dump down to 6k that will take us to the 8ks again in the short term, before quite probably continuing the downtrend. Maybe we'll print one last lower high before an even deeper eventual dump below 3k. Or the whole structure is a big bullish wedge. Either way a double top after 8ks and some more consolidation would be expected and neutral. After that we'd need something else to prove that the bear market is truly over and take us out of this rinsing cycle that keeps going on. I've been in this market a long time and for me it is just clear as day what is happening.
I think the similarities are pretty clear with the V shape low after a big dump. Have a scroll and see what else is similar. Bitcoin tends to love following fractals during panic moments because it's still the same people who are manipulating the market... maybe one or two more joined the group and some left, but it's all the same.
Another similarity is that it just bounced from a major downsloping trendline in white, same as now, and similar oversold RSI level before a relief rally.
One thing that concerns me about this fractal is that during the 2017/18 dump there was bullish divergence on the RSI at the time the right shoulder was forming, however this time the RSI is creating lower highs. Ideally we would like to see a high volume breakout and the RSI make a higher high and low.
Targets are on the graph. Buy on breakout. Oh and I bought TV pro during the sale so enjoy the side by side charts. Yay!
Please don't forget to leave a like!
Note
First attempt at breakout rejected strongly! Let's see what happens.
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Here we goNote
Beautiful bounce could be happening now on the 1H .618 fb. It remains to be seen if we close with a nice hammer that we will continue the move up, or if it is over already.
Note
I'm thinking a breakout is looking increasingly likely, at least intra-day. Some big buys happening.
Note
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