When to buy Bitcoin?
Bitcoin is going through a correction after a rejection happened yesterday at 9200$. Now the question is when to buy bitcoin at what price point?
Let's analyze 4H timeframe:
- Bitcoin broke down from rising wedge yesterday, rising wedge neckline should act as resistance for a further drop. So we need to see how price reacts when it tries to break above 8800$.
-IF Price rejects at 8800-8900$ then, it will make a lower high on the lower time frame, and that could be followed by lower low later.
-We can also spot another rising channel trendline inherited from 6850$ when price made a Higher low and broke out from bearish structure by making high later on.
-Trendline support is at around 7800-7900$ which should act as strong support for bitcoin.
Elliot waves count
An impulsive move from 6430$ looks like the starting of Major wave impulsive wave -1 which can be divided into 5 sub-waves.
First subwave: price rose from 6430 to 7660$
Second corrective wave: price corrected to 6850$
third subwave: price rose from 6850$ to 9200$
Bitcoin is currently into subwave-4 of major impulse wave-1 which could correct the price to sub 8000$.
Support levels to watch out for bounce:
7800,8200$ and 8500$.
Bitcoin can bounce from any of these areas and continue the bull trend.
As the Chinese new year will approach this week, we might see a brief consolidation for 1-2 weeks, and that should be the best time to accumulate bitcoin for halving rally.
Trade Signal:
XBTUSD
Entries: 7800-8200$
Exit: 12000-13000$
STOP: 7400$
Let's analyze 4H timeframe:
- Bitcoin broke down from rising wedge yesterday, rising wedge neckline should act as resistance for a further drop. So we need to see how price reacts when it tries to break above 8800$.
-IF Price rejects at 8800-8900$ then, it will make a lower high on the lower time frame, and that could be followed by lower low later.
-We can also spot another rising channel trendline inherited from 6850$ when price made a Higher low and broke out from bearish structure by making high later on.
-Trendline support is at around 7800-7900$ which should act as strong support for bitcoin.
Elliot waves count
An impulsive move from 6430$ looks like the starting of Major wave impulsive wave -1 which can be divided into 5 sub-waves.
First subwave: price rose from 6430 to 7660$
Second corrective wave: price corrected to 6850$
third subwave: price rose from 6850$ to 9200$
Bitcoin is currently into subwave-4 of major impulse wave-1 which could correct the price to sub 8000$.
Support levels to watch out for bounce:
7800,8200$ and 8500$.
Bitcoin can bounce from any of these areas and continue the bull trend.
As the Chinese new year will approach this week, we might see a brief consolidation for 1-2 weeks, and that should be the best time to accumulate bitcoin for halving rally.
Trade Signal:
XBTUSD
Entries: 7800-8200$
Exit: 12000-13000$
STOP: 7400$
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.