BITCOIN Moving In Precarious Terrain, Here Is Why!

Aug 19, 2020

Hi my friends,

bitcoin moving in precarious terrain, bitcoin has still resistance above in the range at the 12200 - 13000 level, there is still supply lying from past price action formed in the last years furthermore it has rising resistance levels there, bitcoin can move some higher in the range but it will approach the remaining resistance levels increasing the possibility for fake breakouts, the bigger pullback scenario should not be kept by side here this is why we should not overspeculate the situation as many people already becoming completely bullish this can become fatal in such situation as smart money operators just waiting on this measurements, in this case, I detected the importances in the current situation and what we should consider next times.

You can see in my chart that bitcoin is building up a possible rising-wedge formation which can be a tricky formation in the technical meaning providing one fake breakout after another while the price is setting up for a bigger pull-back, such formation can also invalidate to the upside as it is the same with the reverse formation to the downside but as there are still the before mentioned remaining resistance levels the possibility for such an invalidation becomes little, bitcoin can move some higher here to the 12800 - 13000 level where you can watch the upper resistance level marked in blue where a possible pull-back can be expected, overall this is can lead to a confirmation of this rising-wedge formation to the downside also confirming the wave count with the final wave E. What is also supporting this scenario here is the low-volatility-circle marked in red normally when the volatility gets lower there comes a reversal with higher volatility as this can also be watched in past price data. When bitcoin confirms below the lower boundary of this wedge-formation with a decisive move there is a high possibility for further continuation given, this does not mean bitcoin will continue forever in this direction, the next remaining support is at the 10K level which was previously strong resistance is now support also coming together with the strong falling resistance line marked in red, when bitcoin approaches these levels it has to be elevated what happens next here.

Bitcoin and the cryptocurrency market have confirmed some bullish movements to the upside taking out important resistance levels and showing increased volatile growth, this is completely right, nevertheless, we should take note that bitcoin is in an uptrend since the corona-lows established this year also growing faster than the S%P while showing record numbers in various indicators, taking all these factors into consideration bitcoin is coming into a tricky phase where it can show some up moves but these moves can result into fake breakouts and reverse the downside showing a bigger pull back as mentioned this is why we should anticipate the situation correctly to wage possibilities as well as opportunities in the right manner in order to take the appropriate action when time is ripe.

In this manner, thank you for watching, support for more market insight, all the best!
"The past like the future is indefinite and exists only in a spectrum of possibilities."

Information provided is only educational and should not be used to take action in the market.