We have seen a great year for bitcoin.
Here, I have charted downward arrows on RSI starting from overbought to the movements it made to bottom, oversold or near there (<40RSI)
I used horizontal lines to synchronize when RSI is oversold and when BTC is at top of bullish cycle.
As we can see, RSI does not lie, it is a good indicator of showing when bulls are exhausted and therefore bears evident to come in.
I will be looking for BTC entries at hard, real support.
That is around 6-7k and maybe low 8ks depending on how other indicators act.
This is not a trade, this is educational and meant to point out correlations between RSI and Bitcoin cycles.
As you can see, it is pretty reliable.
We can also see price bounce from 100 moving average and we can use that as a dynamic support level / zone.
Even if you are not bullish on Bitcoin, there is no point in investing in a disadvantageous manner and ignoring the flagship.
Just remember this is risky, we are in uncharted bubble territory and we can see a replay of MTGOX event (BTC $1200 -> $200) with Bitfinex and tether situation, but much worse, since this market is not just made by early adopters anymore.
A custom indicator called CM_Williams_Vix-Fix Finds Market Bottoms is also pretty reliable at pointing out bottoms (yellow)
MACD is also pretty reliable in this sector.
Donations:
LTC:
LQdNvC29EzF9LRkEpegQ7tab5svzaSdKCf
ETH: 0x7F5CF2EA6b1d4C4A26d0943f5c35e6d55805cD5e
BTC: 1HbAHkawHsP9shHY9Xb9htDqjSFogK5x4y
Here, I have charted downward arrows on RSI starting from overbought to the movements it made to bottom, oversold or near there (<40RSI)
I used horizontal lines to synchronize when RSI is oversold and when BTC is at top of bullish cycle.
As we can see, RSI does not lie, it is a good indicator of showing when bulls are exhausted and therefore bears evident to come in.
I will be looking for BTC entries at hard, real support.
That is around 6-7k and maybe low 8ks depending on how other indicators act.
This is not a trade, this is educational and meant to point out correlations between RSI and Bitcoin cycles.
As you can see, it is pretty reliable.
We can also see price bounce from 100 moving average and we can use that as a dynamic support level / zone.
Even if you are not bullish on Bitcoin, there is no point in investing in a disadvantageous manner and ignoring the flagship.
Just remember this is risky, we are in uncharted bubble territory and we can see a replay of MTGOX event (BTC $1200 -> $200) with Bitfinex and tether situation, but much worse, since this market is not just made by early adopters anymore.
A custom indicator called CM_Williams_Vix-Fix Finds Market Bottoms is also pretty reliable at pointing out bottoms (yellow)
MACD is also pretty reliable in this sector.
Donations:
LTC:
LQdNvC29EzF9LRkEpegQ7tab5svzaSdKCf
ETH: 0x7F5CF2EA6b1d4C4A26d0943f5c35e6d55805cD5e
BTC: 1HbAHkawHsP9shHY9Xb9htDqjSFogK5x4y
Komen:
Also remember that bitcoin has seen 7 bubblous cycles that all have came back harder than ever.
Komen:
pulled back a little late, lesson learned:
Wait for more signals of trend end, such as buyers exhausting, volume dry, and more.
Wait for more signals of trend end, such as buyers exhausting, volume dry, and more.