BitcoinUpdated Great time to enter on long term bear trend trend
We are currently at the 0.382 Fib retracement of the recent long term bear trend breakout. We are also at a 1.618 retracement of this counter trend bearish breakout (using the last swing low - swing high of the bullish breakout wave). We are also at the 1.272 extension of the bearish breakout. If we don't reverse here, the 1.618 area at 6000 would seem to be the point of reversal. We seem to be making an inverse head and shoulders and are previous support / resistance line
A safe approach would be to wait for this bearish correction trendline to break bullish, in which case we might expect the inverted head and shoulders to complete. Safer again, might be to wait for the IH&S to fully complete and break up past the resistance line, then buy on a support test.
If it does reverse around this 6000 area, In my opinion it would serve as a convincing confirmation that the tides have turned to the bulls favour!
A safe approach would be to wait for this bearish correction trendline to break bullish, in which case we might expect the inverted head and shoulders to complete. Safer again, might be to wait for the IH&S to fully complete and break up past the resistance line, then buy on a support test.
If it does reverse around this 6000 area, In my opinion it would serve as a convincing confirmation that the tides have turned to the bulls favour!
Note
Starting to look like there is confluence at this point:- High volume bullish candle
- Occurred on recent bullish breakout's 0.382 retracement
- Occurred on the 1.618 retracement of bullish break's bearish correction
- Strong bullish stochastic RSI (double bottom on the indicator)
- Perfectly touched the bottom of recent channel
- Perfectly touched the uptrend line starting from the 24 - 29th July double bottom
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