Pretty simple set up. We have:
- Falling wedge
- price currently at resistance
- bearish divergence on the RSI
- Topping behavior with a candlewick at a fib extension level & and a developing red candle
Komen:
Looks like my update about inverse head and shoulders was not necessary as BTCUSD powered through resistance and hit my target with slight over performance. It also appears I was dead wrong about ETHUSD falling at resistance as we have blasted through quite bullishly.
Having said all that, BTCUSD is still on the way down according to plan. As I mentioned we had some slight over-performance on the falling wedge and we exceeded by peak price by about $100. From there BTCUSD has acted according to plan, not able to show any technical strength. Interim target of about $2,500 is still in play with a final target around $1,200.
Having said all that, BTCUSD is still on the way down according to plan. As I mentioned we had some slight over-performance on the falling wedge and we exceeded by peak price by about $100. From there BTCUSD has acted according to plan, not able to show any technical strength. Interim target of about $2,500 is still in play with a final target around $1,200.
Komen:
I have drawn over the chart in blue the larger consolidation triangle I believe to be forming. This consolidation still has a about 6 weeks to play out and obviously could break to the upside. I am biased to the downside. My post on the S&P show I think we have reached the top there and with real and paper losses incoming in the normal exchanges I see crypto taking a beating with relief rallies from here to there. My targets remain the same of the fib extension in the original post, with a low/bounce at about $2500 and a final bottom near $1,300.
I haven't posted it here, but lots of TA expect the 200w SMA to act as long term support and I am under the belief that it will not hold. IF the 200W does hold in the short run I won't be interested in BTCUSD as an investment (long term) until I see a golden cross on the daily, or even better, on the 3D or 1w.
Its been a while since I have looked at this chart but I believe it is still valid. It has taken much longer than I expected for this to play out but the internal consistence of the fib levels in relation to the falling wedge have played themselves out well, with the black arrows showing where the fib levels have acted as strong resistance or support.
I have drawn over the chart in blue the larger consolidation triangle I believe to be forming. This consolidation still has a about 6 weeks to play out and obviously could break to the upside. I am biased to the downside. My post on the S&P show I think we have reached the top there and with real and paper losses incoming in the normal exchanges I see crypto taking a beating with relief rallies from here to there. My targets remain the same of the fib extension in the original post, with a low/bounce at about $2500 and a final bottom near $1,300.
I haven't posted it here, but lots of TA expect the 200w SMA to act as long term support and I am under the belief that it will not hold. IF the 200W does hold in the short run I won't be interested in BTCUSD as an investment (long term) until I see a golden cross on the daily, or even better, on the 3D or 1w.
And I promise every Floridian that you will all be rich... because we're gonna print some more money! Why didn't anybody ever think of this before?
~Nathan Explosion
~Nathan Explosion
Concurrently we see that ETHUSD has it the top of the falling wedge we have been in since early April. The price action of ETHUSD might chop sideways a bit more, go a tad higher as it hits resistance, but ultimately, down. We still have until the new year for ETHUSD to continue down, and the wedge I suspect will break to the downside (as wedges do about 25-33% of the time).