BTC Reversal
Updated
With the anaemic volume leading to the open of CME futures, the charts looked read to roll over once trading started. Following the open of CME futures we saw BTC go through a period of correction (1 to 1.382 time frame).
I think between the 1.382 and 1.618 we will be seeing a period of consolidation after a move upwards.
The Tenkan and Kijun span shows a big disequilibrium, and is often a sign that a pullback is overdue. A flat Kijun acts as a strong price magnet, the RSI and MACD is also currently ranging in zones we have not seen it in since the fall from 8k to 5.5k.
We have also seen strong rejection of the 38.2% price levels of this wave up (A: 8820. B:17171. C:12730). A cross of the MACD in this range, which once again, has happened in the 5.5k correction, brought us this massive rally nearly touching 20k. Once a cross occurs, it is highly likely that there will be enough momentum to bring us a TK cross, ideally above the cloud.
Will be assessing the situation based on the timeframes indicated in the chart. Idea will be invalid with a convincing break under the cloud and rejection of 38.2% support.
Should we see the bullish price action we desire, the fibonacci targets are shown. If you want to apply Ichimoku price theory, these are the levels to watch out for:
NT 16640.0 (confirmation level)
N 21081.0
V 21612.0 (high probability targets)
E 25522.0 (low probability targets)
I think between the 1.382 and 1.618 we will be seeing a period of consolidation after a move upwards.
The Tenkan and Kijun span shows a big disequilibrium, and is often a sign that a pullback is overdue. A flat Kijun acts as a strong price magnet, the RSI and MACD is also currently ranging in zones we have not seen it in since the fall from 8k to 5.5k.
We have also seen strong rejection of the 38.2% price levels of this wave up (A: 8820. B:17171. C:12730). A cross of the MACD in this range, which once again, has happened in the 5.5k correction, brought us this massive rally nearly touching 20k. Once a cross occurs, it is highly likely that there will be enough momentum to bring us a TK cross, ideally above the cloud.
Will be assessing the situation based on the timeframes indicated in the chart. Idea will be invalid with a convincing break under the cloud and rejection of 38.2% support.
Should we see the bullish price action we desire, the fibonacci targets are shown. If you want to apply Ichimoku price theory, these are the levels to watch out for:
NT 16640.0 (confirmation level)
N 21081.0
V 21612.0 (high probability targets)
E 25522.0 (low probability targets)
Order cancelled
This is why we wait for confirmation before entering a position.
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