OK, so here is my analysis.
Bitcoin 50 Day MA is still slanting up, so uptrend is still intact.
Stochastic is currently in a downward trend showing weakness. But set up seems to indicate this is temporary.
Candle is bouncing off top Bollinger Band showing overbought, but also a weird kind of support. I suspect we will come down to within this band, not bounce off it.
MACD green line is “starting” to turn down, and seems to be much more resilient than it normally is. The MACD Histogram is still very, very strong to the upside, showing upward momentum is still intact
Two red candles on the daily which if you watch them have been all over the place interday. A lot of volatility.
Conclusion: The big question is what happens when bitcoin futures open for trading? All indicators show that volatility will be high, but the price of bitcoin is stable. This is not a setup for a bear market. It is a setup for high volatility short term, which will culminate in a rocket PAST the moon. Those prior BIG green candles were a clear FOMO and HAD to retrace, and this may NOT be over yet because of futures coming online. It may retrace those green candles but it will be fast, and certainly not tradeable unless you are very nimble. The bid/ask spreads will be wide.
In the end, what you are looking at is rocky waves while we get our sea legs, get used to futures, get used to the circuit breakers on the exchanges, but then we will stabilize within a few days, reset and go higher.
This might try the hearts of lesser souls, but for those of us in it for a while, we have seen similar rises and falls. For the faint of heart, you may not want to watch your charts for a few days. For the rest of us, popcorn and the market will make an interesting show.
BUT MAKE NO MISTAKE ABOUT IT, WE WILL GO HIGHER LATER ON. $45,000 next year minimum.
Bitcoin is the Honey Badger of money. And the futures markets would NOT be opening unless the people in charge expected to make a huge pile of dough, and the only way to do that is for bitcoin to go UP, not go to zero.
I’m HODLING.
Bitcoin 50 Day MA is still slanting up, so uptrend is still intact.
Stochastic is currently in a downward trend showing weakness. But set up seems to indicate this is temporary.
Candle is bouncing off top Bollinger Band showing overbought, but also a weird kind of support. I suspect we will come down to within this band, not bounce off it.
MACD green line is “starting” to turn down, and seems to be much more resilient than it normally is. The MACD Histogram is still very, very strong to the upside, showing upward momentum is still intact
Two red candles on the daily which if you watch them have been all over the place interday. A lot of volatility.
Conclusion: The big question is what happens when bitcoin futures open for trading? All indicators show that volatility will be high, but the price of bitcoin is stable. This is not a setup for a bear market. It is a setup for high volatility short term, which will culminate in a rocket PAST the moon. Those prior BIG green candles were a clear FOMO and HAD to retrace, and this may NOT be over yet because of futures coming online. It may retrace those green candles but it will be fast, and certainly not tradeable unless you are very nimble. The bid/ask spreads will be wide.
In the end, what you are looking at is rocky waves while we get our sea legs, get used to futures, get used to the circuit breakers on the exchanges, but then we will stabilize within a few days, reset and go higher.
This might try the hearts of lesser souls, but for those of us in it for a while, we have seen similar rises and falls. For the faint of heart, you may not want to watch your charts for a few days. For the rest of us, popcorn and the market will make an interesting show.
BUT MAKE NO MISTAKE ABOUT IT, WE WILL GO HIGHER LATER ON. $45,000 next year minimum.
Bitcoin is the Honey Badger of money. And the futures markets would NOT be opening unless the people in charge expected to make a huge pile of dough, and the only way to do that is for bitcoin to go UP, not go to zero.
I’m HODLING.