Bitcoin - Find the beauty in repetition
I find it kinda funny that everyone was comparing 2021 to 2017 until Bitcoin pulled a curveball and all the sudden panic started to settle. I am, however, interested if Bitcoin in 2021 actually resembles Bitcoin from 2019/20. Because let's face it 2021 has been an accummulation year for BTC, a completely sideways-moving price action, basically ranging betwen 30k - 60k, just like 2019 and most of 2020 when the range was 4k - 10k.
The move we are currently experiencing could be a carbon copy of the 2019/20 seven-point move, where each point indicates the following:
1 - Local top
2- Capitulation below 20WMA
3 - Relief rally
4 - Test of the 20WMA
5 - Rejection of the local top/Double top
6 - Final retest of MAs and bull market confirmation
7 - Breakout to price discovery
Bitcoin is currently in what I like to call "the scissors area" between 2 important support/resistance lines, which could be a somewhat confusing zone to market participants, it is a kind of no-mans-land position, where this is neither a bull, nor a bear phase. My view is that if BTC reaches point 7 again, this will be the breakout of the 30k-60k range and place it on the road to six figures.
Bitcoin is still holding a macro level upwards sloping trendline since March '20 and it is very possible to hold it in the next week I think, despite a slight drop below it.
Another interesting thing to notice is that PA is holding support on the sloping trendline in the RSI, which it also did last, although on a different stage of this move. Nevertheless the similarities are fascinating to observe.
Thanks for reading, do your own research, and happy holidays!
The move we are currently experiencing could be a carbon copy of the 2019/20 seven-point move, where each point indicates the following:
1 - Local top
2- Capitulation below 20WMA
3 - Relief rally
4 - Test of the 20WMA
5 - Rejection of the local top/Double top
6 - Final retest of MAs and bull market confirmation
7 - Breakout to price discovery
Bitcoin is currently in what I like to call "the scissors area" between 2 important support/resistance lines, which could be a somewhat confusing zone to market participants, it is a kind of no-mans-land position, where this is neither a bull, nor a bear phase. My view is that if BTC reaches point 7 again, this will be the breakout of the 30k-60k range and place it on the road to six figures.
Bitcoin is still holding a macro level upwards sloping trendline since March '20 and it is very possible to hold it in the next week I think, despite a slight drop below it.
Another interesting thing to notice is that PA is holding support on the sloping trendline in the RSI, which it also did last, although on a different stage of this move. Nevertheless the similarities are fascinating to observe.
Thanks for reading, do your own research, and happy holidays!
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.