BitcoinLong
BTC Looks Bullish As It Eyes 7200!
Updated
Despite what some may think and say, BTC is looking quite bullish right now! Looking first at the chart on the left, we can see that the 4 hour chart has formed another bull flag below the 200 ema, coming off a smaller bull flag below the 100 ema. The MACD has formed a new uptrend channel and is rounding up at the midline, the RSI is strongly bullishly diverging into a falling wedge, the Awesome Oscillator has crossed into a buy signal, and the Laguerre PPO has moved down from the oversold region and is curving back up.
I'm trying to show two things on the chart on the right. The first is the significance of breaking and finding support on the 4 hour 100 ema. Each failed attempt to breach the ema is shown with a red box, and it has trapped us in a downtrend since we fell from 10k back in May. Above us we still face the 200 ema, but as I said above, we are in a nice bull flag finding support on that ema which was previously such a strong resistance. The second thing I'd like to point out on the right side chart is the 4 hour ichimoku cloud. This is our third attempt at a bullish Tenkan-Kijun Cross (TKx). The first try was flat out rejected, with price failing to even touch the cloud; the second try resulted in a successful TKx, but the Tenkan line (blue) flatlined after and price failed to break above the cloud, resulting in a bearish cross and a drop back down. We've now had a successful cross, with the Tenkan continuing to move up from the Kijun line (red), and, most importantly, price has moved above the cloud, with the cloud turning green tomorrow.
Overall, we've got some huge bullish signals quietly revealing themselves on the BTC chart. Remember, it is at times like this, when sentiment is incredibly bearish and everyone is crying out "bitcoin is dead," that bitcoin reverses and goes bullish. Be careful of fakeouts and bear traps, like I believe the head and shoulders pattern it is forming is.
Now, my trade setup right now:
I'll be entering after the 4 hour closes a candle through the 200 ema at 6710. My stop losses will be half upon failure to find support on the 200 ema, and the other half upon a close below the 100 ema. My targets for the trade are 6900, 7200, 7450, and 7800. Remember, this is my personal trade setup which I am sharing for educational and informational purposes only. You make your own trade decisions and are responsible for the outcome, no matter what I or anyone else on tradingview says.
I'm trying to show two things on the chart on the right. The first is the significance of breaking and finding support on the 4 hour 100 ema. Each failed attempt to breach the ema is shown with a red box, and it has trapped us in a downtrend since we fell from 10k back in May. Above us we still face the 200 ema, but as I said above, we are in a nice bull flag finding support on that ema which was previously such a strong resistance. The second thing I'd like to point out on the right side chart is the 4 hour ichimoku cloud. This is our third attempt at a bullish Tenkan-Kijun Cross (TKx). The first try was flat out rejected, with price failing to even touch the cloud; the second try resulted in a successful TKx, but the Tenkan line (blue) flatlined after and price failed to break above the cloud, resulting in a bearish cross and a drop back down. We've now had a successful cross, with the Tenkan continuing to move up from the Kijun line (red), and, most importantly, price has moved above the cloud, with the cloud turning green tomorrow.
Overall, we've got some huge bullish signals quietly revealing themselves on the BTC chart. Remember, it is at times like this, when sentiment is incredibly bearish and everyone is crying out "bitcoin is dead," that bitcoin reverses and goes bullish. Be careful of fakeouts and bear traps, like I believe the head and shoulders pattern it is forming is.
Now, my trade setup right now:
I'll be entering after the 4 hour closes a candle through the 200 ema at 6710. My stop losses will be half upon failure to find support on the 200 ema, and the other half upon a close below the 100 ema. My targets for the trade are 6900, 7200, 7450, and 7800. Remember, this is my personal trade setup which I am sharing for educational and informational purposes only. You make your own trade decisions and are responsible for the outcome, no matter what I or anyone else on tradingview says.
Note
Be sure to check out my other idea, where I go over the BTCUSD Longs and Shorts charts and show what it means for BTC going forward! Thanks for reading, and be sure to follow me if you found this helpful, and comment if you have any questions or disputes about the analyses!
Note
Also, sorry the chart on the right is so hard to see, I forgot to remove the indicators from the chart before posting. If you pull each one down and then zoom and scroll, its a lot easier to see what I'm talking about!Note
We just saw a pre-daily close pump up to 6800, however as long as we fail to close inside or above this OB (red box), as we did today, I still will not enter the trade. You can see how many times we've wicked this region, and how many times we've closed just below. While we have closed above the 4 hour 200 ema, until we're above that area we still could see significant more downside.
Disclaimer
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