BTCUSD Bull Flag break
Updated
In the daily chart the rise from $6327 to $7585 close in three days a 20% BTC rise which resulted in the breakaway from $6800 strong resistance, the last three times there were over 20% rise in BTC this year;from April 10th to April 12th a 21% rise the price went up to $10,000, on Feb 14th to 16th a 21% rise the price peaked at $12,000, lastly 31st Dec to Jan 2nd a 26% rise the price got to $17,000. After months of price successive decline losing 70% from its peak at $20,000 in December last year, also the quick sells have reduced, and most people holding BTC at the moment are long term holders so we mostly won't see big price declines any time soon,this indicates a strong bull signal, meaning that we might be heading to $9000 and above if the fundamentals are strong .
At the moment a break above the flag is in play a close above $7486 will confirm upward momentum. RSI is heading overbought region, though it seems that so many buyers are waiting to get in especially those whom missed the rally from $6,300 a lot of people speculating the price will hit $6,800 former resistance before heading higher. Considering that lately, the sells have been less bloody and so many fiat holders wanting to get in, I want to assume we are heading up.
Again the 14 day MA is way below the 9 day DEMA , indicating the strong bull sentiment of course.
At the moment a break above the flag is in play a close above $7486 will confirm upward momentum. RSI is heading overbought region, though it seems that so many buyers are waiting to get in especially those whom missed the rally from $6,300 a lot of people speculating the price will hit $6,800 former resistance before heading higher. Considering that lately, the sells have been less bloody and so many fiat holders wanting to get in, I want to assume we are heading up.
Again the 14 day MA is way below the 9 day DEMA , indicating the strong bull sentiment of course.
Note
Bull flags have a 46% chance of a pullback and 54% chance of completion, the bull flag usually results in average 23% rise without pullback so from $7400 we have final stop at $9102, and so far no pullback insight and the morning star with doji which shows pull back rejected on the flag with an opening Marubozu which has 53% chance of continuing the next day, shows strong bull intentions. it will be interesting to see where it ends today already touched a high of $8363 a little $279 shy of a key resistance $8642 , a strong close will be important at this juncture
Also supporting this argument is that the IHS competition at $10,000, means there is a lot of upsides yet to fill.
Whatever news is making this psychological turn around must be very strong and still, so many shorting, still adamant the price is going back to 4k, if that is the case I must say the rally hasn't started, this is just a wake-up call to shorters, lots of shorts I assume are pilling up at key level $8500.
Obviously the area $8400 - $8500 will be highly contested , its important to note where the day close will be at.
Noting that we already touched the overbought area of the daily RSI, maybe a reset or a pullback we will see.
Note: TP levels = $7500 /$8000/$8462/$8832/$9102
Note
Mistake Tp levels are $7854, $8345 and $9035
two already hit waiting for the final $9035 for completion, also the price
Trade closed: target reached
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