Good morning ladies and gentlemen and welcome to my daily analysis of Bitcoin. Today I have the 4hr time frame pulled up after a day filled with consolidation. Bitcoin is still holding onto that level just above 9k and which is nice. I would like to see us breakout of this tight spot we are stuck in but I guess I will take what I can get. We muscled our way back above some key areas of support/resistance that may bring a bit of confidence back to a tired market. I have noticed some alts have taken this opportunity to pump and that is nice to see too.
First of all I want to touch on the fact we conquered that 4hr 50 MA once again. So being above the 50 MA on any time frame is considered a bullish occurrence. But there is still plenty of work to do if the bulls want to turn this around. After conquering the 4hr 50 MA we continued to climb til we reached the next resistance, the 4hr 200 MA. That soundly rejected the candles attempt to break through and is still keeping the candles in check. In order to break this stalemate we need to break up from this confined space. Its almost like being in between the top and bottom border of the cloud when the 50 MA is below you and the 200 MA is above you. It is confining and we could spend a bit of time inside this cloud wannabe.
In the process of breaking above the 4hr 50 MA we also conquered the 4hr cloud in the process. This is another bullish occurrence. Being above the cloud on any time frame is considered bullish. Below us there are some noticeable breaks in the 4hr cloud that may make it easy to drop through the cracks and end up back below the cloud. These thin areas of the cloud are opportunities that the bears cant pass sometimes. I see the candles drop through cracks in the cloud just like these beneath us so I would keep an eye on them at the very least.
The 4hr bollinger bands are pretty wide at the moment so I'm not expecting much of a move at least not short term. The bollinger bands on the 4hr don't really take that long to squeeze back together but that requires consolidation for that to happen. This consolidation is a real possibility if we stay stuck between the 50 MA and the 200 MA on the 4hr. Consolidation is a recipe for tighter bollinger bands and that is a recipe for volatility. Mix in a bowl for 4-5 minutes and you have a pump (or dump). Bollinger bands are a great tool for determining when a move is coming but they are hard to gauge. Telling which way the break out is going to occur in advance is the trick. The only real way to do that is combine the bollinger bands with other indicators that can help you decide whether we break up or down. I stick with a pretty basic setup (50 MA, 200 MA, Ichimoku Cloud, Bollinger Bands, and RSI) I use other indicators at times as well such as the Aurox indicator.
We are moving right along keeping those candles above 9k. Every time we drop below 9k we pump back up. Easy trades. But you should still be on your toes. When you get complacent you lose profit. I set a buy on my CB pro acct the other day when we were just above 9k. I set the buy for 8850 thinking that if we dipped we would recover, I would sell at that point and laugh all the way to the bank. Well the dip did happen. The candles dipped to like 8870. 20 dollars from my buy order. Things like this may discourage you but it happens in trading. Believe me I wanted to rip my hair out when I woke up and discovered I set the buy just a tad too low. But thems the breaks folks. I struck out this time but next time I'm a bat I'm hitting a mofo grand slam. Don't let things like this discourage you into trading with your back against the wall. Take your time and breathe. Emotions have no place on the trading floor. Your future self will thank you. I wish you all luck with your trades and watch them alts!!! They have been surprising me lately. But WTFDIK right????
TLDR: Fiat is failing all around the globe. Its not a matter of if, but when... Be prepared... Buy Bitcoin
First of all I want to touch on the fact we conquered that 4hr 50 MA once again. So being above the 50 MA on any time frame is considered a bullish occurrence. But there is still plenty of work to do if the bulls want to turn this around. After conquering the 4hr 50 MA we continued to climb til we reached the next resistance, the 4hr 200 MA. That soundly rejected the candles attempt to break through and is still keeping the candles in check. In order to break this stalemate we need to break up from this confined space. Its almost like being in between the top and bottom border of the cloud when the 50 MA is below you and the 200 MA is above you. It is confining and we could spend a bit of time inside this cloud wannabe.
In the process of breaking above the 4hr 50 MA we also conquered the 4hr cloud in the process. This is another bullish occurrence. Being above the cloud on any time frame is considered bullish. Below us there are some noticeable breaks in the 4hr cloud that may make it easy to drop through the cracks and end up back below the cloud. These thin areas of the cloud are opportunities that the bears cant pass sometimes. I see the candles drop through cracks in the cloud just like these beneath us so I would keep an eye on them at the very least.
The 4hr bollinger bands are pretty wide at the moment so I'm not expecting much of a move at least not short term. The bollinger bands on the 4hr don't really take that long to squeeze back together but that requires consolidation for that to happen. This consolidation is a real possibility if we stay stuck between the 50 MA and the 200 MA on the 4hr. Consolidation is a recipe for tighter bollinger bands and that is a recipe for volatility. Mix in a bowl for 4-5 minutes and you have a pump (or dump). Bollinger bands are a great tool for determining when a move is coming but they are hard to gauge. Telling which way the break out is going to occur in advance is the trick. The only real way to do that is combine the bollinger bands with other indicators that can help you decide whether we break up or down. I stick with a pretty basic setup (50 MA, 200 MA, Ichimoku Cloud, Bollinger Bands, and RSI) I use other indicators at times as well such as the Aurox indicator.
We are moving right along keeping those candles above 9k. Every time we drop below 9k we pump back up. Easy trades. But you should still be on your toes. When you get complacent you lose profit. I set a buy on my CB pro acct the other day when we were just above 9k. I set the buy for 8850 thinking that if we dipped we would recover, I would sell at that point and laugh all the way to the bank. Well the dip did happen. The candles dipped to like 8870. 20 dollars from my buy order. Things like this may discourage you but it happens in trading. Believe me I wanted to rip my hair out when I woke up and discovered I set the buy just a tad too low. But thems the breaks folks. I struck out this time but next time I'm a bat I'm hitting a mofo grand slam. Don't let things like this discourage you into trading with your back against the wall. Take your time and breathe. Emotions have no place on the trading floor. Your future self will thank you. I wish you all luck with your trades and watch them alts!!! They have been surprising me lately. But WTFDIK right????
TLDR: Fiat is failing all around the globe. Its not a matter of if, but when... Be prepared... Buy Bitcoin
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.