Double Tops on Bitcoin; Short term correction before 23K!!
Bitcoin is obviously starting to flatten out and lose momentum. The MACD is showing bearish divergence; Bitcoin's price is rising, but the MACD isn't getting any higher. That means that there are not enough buyers left to push the price anymore. The lack of buyers is further shown by the declining volume. Each sequential spikes in price had less and less volume, indicating less and less money are pouring into Bitcoin. In addition, a bearish rising wedge has been formed. That means the price of Bitcoin has gone up too much too quickly and is due for a correction.
However, I believe this correction is only short-term. The falling wedge could be a leading diagonal of wave 1. If that is the case, we could get targets of $23,000 after a short correction phase! It also mean that we have yet to see the biggest impulse wave in all of Bitcoin's history (disclaimer: in terms of $ gained not % gained)!
The correction gives us a buying opportunity for those who missed out when I predicted Bitcoin would bounce of 13,000. It is important that we buy when the price dip and not when prices rises. Warren Buffett once said, "Be Fearful When Others Are Greedy and Greedy When Others Are Fearful". Everyone is predicting that Bitcoin resumed its downtrend, but we need to remain calm and know that its the only time we can get the best price. Others are fearful, we buy.
Note: Some may say that we are forming a big double tops pattern (red semi-circles). I would disagree. One of the rules of the double tops pattern is that the last leg have to retrace to the middle dip. For the double top pattern to be valid, we would have to retrace to $13,000. If the pattern completes, we could see prices of 11,000!
However, I believe this correction is only short-term. The falling wedge could be a leading diagonal of wave 1. If that is the case, we could get targets of $23,000 after a short correction phase! It also mean that we have yet to see the biggest impulse wave in all of Bitcoin's history (disclaimer: in terms of $ gained not % gained)!
The correction gives us a buying opportunity for those who missed out when I predicted Bitcoin would bounce of 13,000. It is important that we buy when the price dip and not when prices rises. Warren Buffett once said, "Be Fearful When Others Are Greedy and Greedy When Others Are Fearful". Everyone is predicting that Bitcoin resumed its downtrend, but we need to remain calm and know that its the only time we can get the best price. Others are fearful, we buy.
Note: Some may say that we are forming a big double tops pattern (red semi-circles). I would disagree. One of the rules of the double tops pattern is that the last leg have to retrace to the middle dip. For the double top pattern to be valid, we would have to retrace to $13,000. If the pattern completes, we could see prices of 11,000!
Kommentar:
Suggested buy zone narrowed to 14700-15250. imgur.com/a/sbpLt
Kommentar:
I think we will only get one bounce in the buy zone. I think the price will starting pumping soon.
Kommentar:
uptrend confirmed
