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Intermarket Bitcoin - Breakthrough or Failure?

Updated

Intermarket Analysis is great for finding out if there is going to be a trend change or a trend reversal. Today we will look at multiple intermarket relationships that BTC is interacting with to try and decide if we are going to break the downtrend, or retest the sloping resistance and fail. So let’s first start with BTC.

Here you can see that we are coming up on the resistance in the RSI already, and we should see either a failure or a breakthrough in the coming days. We will then be monitoring the sloping price trend line and see what happens there. We could stop here, or we could see if there are any other trend line ratios that could give us hints towards the question - breakthrough or failure. The goal of the exercise is to use a weight of the evidence approach. If BTC breaks through in more ratios than it fails in, we will assume a trend change from bearish back to bullish.

Here is what we will look at:

1. BTCUSD/SPX500USD
2. BTCUSD/COPPER
3. BTCUSD/VIX
4. BTCUSD/BTC.D

These will all be added in the comments with the final total being updated as we have more price data.

Happy Trading!

Note

Note

Here we have a breakthrough on the RSI. That is one point for the bulls. Here is the tally:

Bullish = 1
Neutral = 3
Bearish = 0

Note

Here we have a breakthrough on the RSI. Another point for the bulls, and one point for the neutrals. Updated tally:

Bullish = 2
Neutral = 4
Bearish = 0

Note

Same deal. Updated tally:

Bullish = 3
Neutral = 5
Bearish = 0

Note

Here we have to wait and see. Updated Tally:

Bullish = 3
Neutral = 7
Bearish = 0

Note

Bullish = 6
Neutral = 4
Bearish = 0

derzzycharts

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