Without more looming Mt. Gox scares to worry about, it's time for a long term recovery, just like the one from December 18.
This is an analysis based on fib spirals and retracements.
I expect the price to retrace from the 0.382 line at the spiral and white trend line intersection, and break out from the wedge in the future.
For the past few weeks, there have been many periods of sideways. Each of them are similar price action wise and indicator wise.
The RSI 14 gets very close to the RSI 42 and skirts on the top of the RSI 42.
The BBW moves close to zero.
Stoch RSI forms lower highs on the way down to oversold.
In addition, we are approaching a wedge, as indicated by the blue...
It seems we've reached the bottom for this cycle. White line indicates strong long term support/resistance.
173+348 ~ 520 bars. Note that this trend will probably not hold due to the wedge (as indicated by the two white lines).
Our current situation seems to parallel that of January 13. RSI's are almost identical, and it looks like we're bouncing off both a trend line and a 0.618 fib.
Box is short zone. Otherwise, I see a profitable long.
Feedback appreciated. I'm a newbie trader.
It seems that confidence in breaking 848 is waning. Possible crash to ensue.
Although, do note that BTCUSD consolidations have almost always resulted in rapid rallies upward.
Overnight wedge forming in both the price and RSI, combined with weakening tests this afternoon make for an uncertain rise. Tread carefully.
Take profit at 845.
