BTC analysis with Fib circles, pivotal prices and 200day ema.
Updated
SUMMARY
There's quite a lot of information on this chart so I'm going to break it down step by step, it'll be worth your time, in my opinion off course ;-)
The chart has four Fibonacci circles with three layers (the inner, red; the middle, green; and the outer, white). The first starting 8th January 2021, the last ending 27th January 2022.
CHART OVERVIEW
BTC/USDT; Binance, Daily Chart.
Fib Circles. I used cyclic lines from the date Bitcoin closed (daily) above it's 2017 ATH (8th January 2021) to it's current ATH (14th April 2021). I used the cyclic lines tool to repeat the time frame forwards. From the low of the 8thJan to the High 14th of April I connected the fib circles. Then I copied the circles and laid them next to each other.
The Fib circles have the 0.236, 0.618 and 1 fib numbers.
Also on the chart is the 200 ema (Dark Blue); three pivotal price points (the current ATH; the Lowest low of the first big peak after breaking 2017 ATH and the 0.5 retracement between these points); four signposts where there have been 10% or more drop in daily close price and six red flags where the BTC price touched the 200ema and the closed below it.
CONCLUSION
Brief fib circle analysis: On the first fib circle the price hugged the outer radius before pumping through, resistance was established on the middle circle, before delving into the inner circle, after filling the whole inner circle the price pumped, trailed on the middle circle before leaving the outer circle after a small pullback, here the current ATH was achieved. The second circle tells a different story, the price plummeted though the middle circle, barely staying much time there, skipped the inner circle and chopped along the middle circle, once it left the middle circle it swung up the outer circle before leaving and reaching it's last pullback below the 200day ema. On the third circle, the price headed almost directly for the inner circle, after filling the whole circle it has poured out in a downward trajectory. The fourth and last circle is empty as this is a future possibility and the price may skip the circle all together (above or below).
The price currently is in the middle of this open space between the middle and inner circle, just basing the direction on that it's unclear whether the price will reverse or continue falling, it's a bearish sign that the price fell out of the inner circle downwards instead of pumping up, if down trend continues, the price should find support on the middle circle.
>BEARISH OR BULLISH? Overall breaking down from the mid circle is bearish so my thoughts solely based on the fib circles are bearish.
Brief 200day ema plus red flags analysis: The 200day ema formed strong resistance during the 10week accumulation phase, you can see by the red flags (six in total) how the price was batted down after contacting this price, the day is not over but after quickly dipping under this point we have bounced back up with strong volume, if we close above this 200day ema, the price is bullish.
>BEARISH OR BULLISH? After seeing such powerful resistance at a certain level, this usually flips into a powerful supprt zone. Based on this I'm bullish.
Brief 0.5 retracement point analysis: The BTC price has connected with the 0.5 retracment point many times, usually staying there for a fairly short time before heading up or down.
>BEARISH OR BULLISH? The price has plummeted after contacting the 0.5 point so this is a bearish sign.
Brief four signpost analysis: There have been four times in this period where the price has dropped over 10% in price (daily close). This could suggest that bitcoin is following a similar pattern to it's previous performance, the last time we had a big -10% drop was close to the ATH after which we went into a massive 10week accumulation phase, two big price drops in the 30k price range represented price suppression in order to maximize asset absorption at low prices. We've had another 10% price drop from a recent high at 52.9k.
>BEARISH OR BULLISH? Short term this would indicate a somewhat bearish direction but more of a sideways trajectory, if price repeats itself we may see two more big drops, this could be supported by the middle or outer circle, long term this is a bullish sign because this indicates a possible second re-accumulation which tend to be shorter in time frame with less intense price swings, long term I'm bullish.
Let me know what you think and thank you very much for taking the time to read this.
*Disclaimer: NOT PROFESSIONAL ADVICE
Many thanks,
Casey
There's quite a lot of information on this chart so I'm going to break it down step by step, it'll be worth your time, in my opinion off course ;-)
The chart has four Fibonacci circles with three layers (the inner, red; the middle, green; and the outer, white). The first starting 8th January 2021, the last ending 27th January 2022.
CHART OVERVIEW
BTC/USDT; Binance, Daily Chart.
Fib Circles. I used cyclic lines from the date Bitcoin closed (daily) above it's 2017 ATH (8th January 2021) to it's current ATH (14th April 2021). I used the cyclic lines tool to repeat the time frame forwards. From the low of the 8thJan to the High 14th of April I connected the fib circles. Then I copied the circles and laid them next to each other.
The Fib circles have the 0.236, 0.618 and 1 fib numbers.
Also on the chart is the 200 ema (Dark Blue); three pivotal price points (the current ATH; the Lowest low of the first big peak after breaking 2017 ATH and the 0.5 retracement between these points); four signposts where there have been 10% or more drop in daily close price and six red flags where the BTC price touched the 200ema and the closed below it.
CONCLUSION
Brief fib circle analysis: On the first fib circle the price hugged the outer radius before pumping through, resistance was established on the middle circle, before delving into the inner circle, after filling the whole inner circle the price pumped, trailed on the middle circle before leaving the outer circle after a small pullback, here the current ATH was achieved. The second circle tells a different story, the price plummeted though the middle circle, barely staying much time there, skipped the inner circle and chopped along the middle circle, once it left the middle circle it swung up the outer circle before leaving and reaching it's last pullback below the 200day ema. On the third circle, the price headed almost directly for the inner circle, after filling the whole circle it has poured out in a downward trajectory. The fourth and last circle is empty as this is a future possibility and the price may skip the circle all together (above or below).
The price currently is in the middle of this open space between the middle and inner circle, just basing the direction on that it's unclear whether the price will reverse or continue falling, it's a bearish sign that the price fell out of the inner circle downwards instead of pumping up, if down trend continues, the price should find support on the middle circle.
>BEARISH OR BULLISH? Overall breaking down from the mid circle is bearish so my thoughts solely based on the fib circles are bearish.
Brief 200day ema plus red flags analysis: The 200day ema formed strong resistance during the 10week accumulation phase, you can see by the red flags (six in total) how the price was batted down after contacting this price, the day is not over but after quickly dipping under this point we have bounced back up with strong volume, if we close above this 200day ema, the price is bullish.
>BEARISH OR BULLISH? After seeing such powerful resistance at a certain level, this usually flips into a powerful supprt zone. Based on this I'm bullish.
Brief 0.5 retracement point analysis: The BTC price has connected with the 0.5 retracment point many times, usually staying there for a fairly short time before heading up or down.
>BEARISH OR BULLISH? The price has plummeted after contacting the 0.5 point so this is a bearish sign.
Brief four signpost analysis: There have been four times in this period where the price has dropped over 10% in price (daily close). This could suggest that bitcoin is following a similar pattern to it's previous performance, the last time we had a big -10% drop was close to the ATH after which we went into a massive 10week accumulation phase, two big price drops in the 30k price range represented price suppression in order to maximize asset absorption at low prices. We've had another 10% price drop from a recent high at 52.9k.
>BEARISH OR BULLISH? Short term this would indicate a somewhat bearish direction but more of a sideways trajectory, if price repeats itself we may see two more big drops, this could be supported by the middle or outer circle, long term this is a bullish sign because this indicates a possible second re-accumulation which tend to be shorter in time frame with less intense price swings, long term I'm bullish.
Let me know what you think and thank you very much for taking the time to read this.
*Disclaimer: NOT PROFESSIONAL ADVICE
Many thanks,
Casey
Note
We are very close to contacting the green middle circle and exiting it, once this happens very soon after there will most likely be a big price move on the cards.Note
After coming within a finger tips distance of the green middle circle bitcoin's price jumped significantly. Now Bitcoin is very close to breaking out of the mid-circle which would indicate another strong move is on it's way. It may not be straight away and there could be a small re-tracement or two but I'm expecting these last minute pullbacks to be very short-lived and ending in a massive bitcoin pump, how about you guys?Note
Bitcoin has left the mid green circle and is heading upwards, bullish!Note
Bitcoin has left the outer circle, we could be on the verge of a parabolic pump.
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