I'm bearish since Februari 21, mainly because of two simple reasons:
- The price was rising for 51 days
- Bitcoin touched the 200 weekly EMA, and horizontal support at the same price point.
In my analysis of Februari 24, I expected Bitcoin to get a bounce or go sideways at the support zone of 22800 to 23200. At that point I wasn't really sure whether Bitcoin was bullish enough to stay above that zone. Now we've gotten our answer. It isn't.
Now that Bitcoin has breached that zone, we can look at a bottom soon. As of today, we're at day 63 of Bitcoin's 65 daily cycle (on average). This means that it is likely we're seeing our bottom fairly soon, and in the most bullish case, that bottom is today.
We're also looking at a falling channel, which is my favorite trading pattern. I'm now looking for a bullish divergence on an hourly chart, accompanied with sideways action. The bottom is in when those conditions meet.
- The price was rising for 51 days
- Bitcoin touched the 200 weekly EMA, and horizontal support at the same price point.
In my analysis of Februari 24, I expected Bitcoin to get a bounce or go sideways at the support zone of 22800 to 23200. At that point I wasn't really sure whether Bitcoin was bullish enough to stay above that zone. Now we've gotten our answer. It isn't.
Now that Bitcoin has breached that zone, we can look at a bottom soon. As of today, we're at day 63 of Bitcoin's 65 daily cycle (on average). This means that it is likely we're seeing our bottom fairly soon, and in the most bullish case, that bottom is today.
We're also looking at a falling channel, which is my favorite trading pattern. I'm now looking for a bullish divergence on an hourly chart, accompanied with sideways action. The bottom is in when those conditions meet.