Lets take a quick look at the contradicting signals on the Bitcoin market versus the US Dollar.
Taking a look at the chart we can clearly see that we have indeed entered a new bearish downtrend, with resistance looking solid as a rock around $8800 – $9100. There are many contradicting signals, such as a small bull flag inside of a much bigger bearish flag.
I added the purple dotted line to indicate the new bullish trend developing on the shorter time frame, with support around $8000 – $8400 at the time of writing this report. This bullish momentum is confirmed by the Awesome Oscillator, however the PPO indicator has already begun contradicting its neighbor.
When we take a look at the 1 Day candles we can see the emergence of a possible triangle, which is a classic in the crypto world. On the medium time frame for me I have support in at around $7000 – $7100, and would consider adding to my longs should the market dip that low.
As a final note I would just like to add that there is not much volume going into this week and it is most likely that the next burst of buying or selling will determine our trajectory. Please feel free to discuss this trade idea with our community on Discord. Safe trades.
- This reply was modified 11 months, 2 weeks ago by margincall. Reason: grammar, spelling errors :P