Here is a Bitcoin comparison with another similar V-shaped and IH&S bottom on July 16 (first green arrow). At that time, the 1D were also tightening and Bitcoin broke the 1D midband and held strongly ABOVE the 1D midband as support (which is ) then Bitcoin broke out towards new highs resuming the Megabull.
In comparison to the current V-shaped and IH&S bottom we put in at $6,000-5,900 on the February 5th, we projected a similar forecast based on July 16. The forecast which we discussed in another newly published Tradingview chart is outlined through a more detailed pink colored . This pink also makes sense from a stand point of the current large IH&S target being a retest of the top at 19-17.5K which is really a simple text book trade. As you also notice, once we break out past the top of the , we head over to retest the ATH but remain within the as we go further up most likely towards a final ATH near $75,000 or even $100,000-130,000 by June-July 2018.
At the moment we are at a cross road between both parallel channels (that would confirm the bull market potentially being back with a gradual solid break above several key resistances at $11,200, then $12,000 and then $13,000) and parallel channels (that would confirm the market continuation with a solid break below $9,300)
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Next potential stops based on the bullish pink fractal:
$16,500-17,000 (top of bull channel)
Once readjusted and corrected the break out shows to be at $11,800-12,000 and not at $11,100 as initially pointed to.
Notice we have a strong resistance at $11,200-11,000 which sent us back down in the past few hours and put a sell signal on the momentum on all timeframes. Important to stay above $10,800-10,750 else we could drop back down to retest the supports at $10,650 and then $10,350-10,200
In order to fully confirm the bull reversal and resume the Megabull within few months from now, we would first need to see the larger IH&S confirm with a solid break of the $11,700-12,000 and a surge to and past $12,300+.
The target of the IH&S is the $17,000-18,500 roughly.
After noticing that we were not going to be able to break past the top of the log bearish parallel channel $12,000 due to low volume and Bitcoin being within a rising wedge, we sold at $11,500-11,700 and have been in fiat since then.
The 1H 2H 4H 12H 1D etc.. bands squeezes released to the downside afterall and the bottom 1D band at $9,200-9,300 failed to hold us hence resolving the move completely to the downside. The long bear market (blue fractal) just confirmed with a break of $8,800-8,700 as well.
Add to the bearishness that Mt. Gox came back to hunt us with their continuous unloading of large batches of Bitcoin since $19,000 (see our twitter) through the $6,000 in the past few months. Technically, this selling has always pushed the Bitcoin market in a longer bear market that it should have been into.
We have been in fiat still till now watching the blue bear market fractal which we had to realign after the previous overlap broke. The current realignment is more spot on the trend after shrinking the fractal:
Follow and like and we will publish shortly the new chart for you!
I will publish a new update on this chart with a cleaner view and comments in few days!