Bitcoin, Decisive Formation Completes, Ground To Continuations!

9 de dez. de 2020

Hi my friends,

Welcome to this analysis about Bitcoin, we are looking at Bitcoins 1-hour timeframe perspective, a major formation Bitcoin has recently formed now finally completed bearishly to the downside and showed up with strong initial bullishness as already expected previously. Now Bitcoin found some marginal temporary support within the structure and besides that, I discovered meaningful signs within the structure worthwhile determining the upcoming outcomes and indicating a possible continuation when the decisive price-action shows up, therefore we are looking at all the important levels and likely outcomes we should consider within Bitcoins established structure and the forthcoming destinies.

As when looking at my chart we can watch there the major head-and-shoulder-formation which Bitcoin recently confirmed bearishly to the downside with this strong volatility, this formation was completed by the move and now Bitcoin found some marginal support within this ascending-trend-line marked in dashed grey within my chart, it is important to note that the support here is not strong and when Bitcoin moves below this will cause the continuation, besides that Bitcoin is forming a coherent wave-count currently with the wave A already completed and the wave B currently in the making, the final wave C will then lead directly into this strong resistance-cluster marked in my chart in red, this is a heavy resistance once because it is the bearish-breakout-origin with the neckline of the head-and-shoulder and furthermore Bitcoin has also the EMA-resistance determined by the 200-EMA and 300-EMA as well as horizontal resistance within this zone. Taking all these important factors into consideration here a bearish pullback is likely to emerge when Bitcoin completes the wave-count within the upper resistance-cluster. When such price-action shows up Bitcoin will first move into the ascending-trend-line and test it, when this important trendline does not hold sustainably Bitcoin will move on and form a more protracted bearish continuation within the bearish-continuation-zone marked in my chart where the possibility to complete the double-top is still given.

The upcoming times will show how Bitcoin will react within the suggested zones and how it moves on further from there, it is necessary to do not underestimate the bearish side of things here as Bitcoin has already shown up with this strong bearish pace and especially from a fundamental perspective a strengthening of the US-Dollar which is not unlikely to happen next times can also indicate a higher bearish continuation. For now, as sophisticated traders, we should keep patient and determine to elevate how the market is developing under the suggested circumstances before taking any action and rush into trades that do not satisfy, this is always necessary to point the goals within trading and achieve the success in trading.

In this manner, thank you for watching the analysis, have a great day and weekend, all the best!
"Prospect is the ingredient of good fortune."

Information provided is only educational and should not be used to take action in the markets.