Overnight Bitcoin has rallied to the next line of resistance
listed at 9493 with an overnight high at 9506 reached at the
now customary 06:00gmt/01:00est turning point, before
falling prey to profit takers once again. The break above the
holding larger parallels was an encouraging signal for the bulls
in this argument. But the overnight rally didn't carry much
serious intent with it and didn't create much interest really.
We did get a second chance to buy at 9000 though and the run
up to 9496 was worth another 500 or so points so if you stayed
with this through a slow Friday night you at least got some
reward for that patience. But Bitcoin is still stuck within a
continuation pattern as a result of last night's price action.
Now it falls to Europe and then the US to keep the bull flame
flickering today. Since 06:00 gmt it's spent 3 hours or so
drifting back downwards.
There looks to be 2 potential buy points from here. The first
is from 9012-8951 range if we see it come off further from
here during today, looking for an entry off the lower parallel
of the continuation pattern with stops under the same line.
The second buy point will come once the small falling
dynamic from the overnight high has been broken through
again to the upside. If we see this materialise we can follow
long or add with stops under the dynamic. It's the weekend
and longs are going to need a surge to accompany the
break higher if it's to be trusted. If we don't see this be very
careful with any longs. We could well see a failed break
without some decent behind it.
Initial resistance at 9500-9510 and the upper parallel of the
continuation pattern, then 9831 and 10112.
To really start to rally hard Bitcoin will have to break free of
the continuation pattern it's being held within, busting
through the upper parallel. But it's the weekend and it will
need some serious buying later if this is to materialise for us.
Looks unlikely right now but if it does happen today at any
point we have to follow/add, with stops 50 or so below the
break line/upper parallel. It may be unlikely but it's Bitcoin .
We have to be prepared for all eventualities, even on a
Returning to the downside: we have a bunch of tiny spikes
forming above price on the 15 minute chart but there is no
selling pressure, more lack of interest. It can drift lower as a
result, back to 9000-8950 but it must hold up here, off the
lower parallel if Bitcoin is to stay positive today. A fall below
8950 would tip Bitcoin back into bear hands again and likely
force it back to the 8784 line again at least and more likely
back to 8356 where it should begin to rally once more. The
8356 line is now critical support for the bull case. Any failure
to hold at any point over the weekend will create another run
lower, to 7835 at least and more likely to 7547. This looks
unlikely at this point though, so long as it remains a FUD-free
Bitstamp Chart Update
Bitfinex Chart Update
Has flipped back lower to support - coming up a buy again a buy with stops under the parallel
MUST hold that parallel or it flips back to negative again - get reaady to reverse short if so.
Updated Link: For real-time updates please see top of main page
Although it's amde a bounce from the support line and just under at 9053-9000 it's unlikey to rally very far This looks like a suckers'rally now. It will have a problem to push above the parallel directly above it now. Eventually it is likely to fail and start dropping towards 8743 and then the lows at 8363 where we can look to buy again if it holds and fights there when retested later, maybe at 06:00gmt/01:00est and maybe earlier.
But in the interim it can grind higher slowly and steadily within the confines of the two lines trapping it now
testing next support line now - a bounce and then back to the lows later
For real -time updates please see top of main page
Bitstamp feed has been the most reliable for patterns today so far and has only a small spike on the upper parallel, unlike Coinbase and Bitfinex to a lesser extent.
this is the 4th wave down - it is likely hthis will be the last before it rallies up through th eupper parallel. Follow that brak - need to see some volume surge at tthat point, otherwise watch it and raise stop.
On downside it has to break below 8363, as above comments.
Until tomorrow, be Lucky
Bitstamp Chart Update
And If these updates have been helpful please hit that agree button ! Sorry about typos.
Mama mia ! Such cruel timing today - the short was stoppped out as it regained the 8744 line and broke back up through the small parallel just around this level. If you managed to get long without a prompt somehwere between here and 8800 as the bears ran for cover well done to you.
Now Bitcoin is making a small continuation pattern but so far holding up off the nearest support line at 9150. It can be bought or added to once the upper small parallel is broken on upside with stops under the same line.
In very near term it can spend some more time consolidating and if 9150 gives way should come back to 9012-9000 - so stops on any longs can be raised to just under 9150 looking to buy back at 9012 if struck.
Overall though today's price action has effectively created another double bottom over a 40 hour period - showing that loss of downward momentum bulls and HODLers have been hoping for. It's the first bullish signal we've seen for days. So we can look to add or follow the next break higher when it comes.