"Bitcoin Analysis Across Multiple Time Frames
Updated
(First, let's have a look at the shorter time frame)
Bitcoin (BTC) is currently operating within a bullish channel and has recently experienced a bounce off the support provided by the ascending trendline and the 100-day moving average (MA). The cryptocurrency is presently trading within the Ichimoku cloud, accompanied by the Relative Strength Index (RSI) signaling a bearish divergence move.
For a bullish trend confirmation, it is imperative for the bulls to regain momentum and achieve a decisive breakout above the horizontal resistance level, approximately around 38,000. Conversely, a sustained breakdown of the ascending trendline would suggest the potential for a short-term correction.
In simpler terms, Bitcoin is following an upward trend, finding support at the ascending trendline and the 100-day moving average. However, caution is advised as the RSI is signaling a potential bearish divergence. A clear breakthrough above the resistance at 38,000 would be a positive indicator for a bullish continuation, while a sustained break below the ascending trendline could indicate a short-term correction in the market.
(Daily time frame)
On the daily time frame, Bitcoin (BTC) has exhibited a volatile pattern, characterized by both a breakout and subsequent breakdown. This fluctuation weakens the established support, emphasizing the importance of a conclusive breach of the 38,000 resistance level and the subsequent closure of a daily candle above it to solidify the support.
The Relative Strength Index (RSI) is currently in the overbought range, suggesting an elevated market condition that may require a period of relief. This, coupled with the choppy price movement, raises the likelihood of a correction in the market.
Key support levels to monitor are approximately 30,000 and 33,500, serving as local support. Until a decisive breakthrough and daily candle closure above the 38,000 resistance level occurs, caution is advised, as there is a heightened probability of a market correction, especially given the overbought condition signaled by the RSI.
(WEEKLY TIME FRAME)
Over the past weeks, Bitcoin has experienced a surge in price, entering a phase of notable price discovery and achieving new yearly highs by surpassing the previous consolidation range.
Historical research reveals a consistent pattern of Bitcoin accumulation in past market cycles.
The initial wave typically occurs shortly after Bitcoin hits its All-Time High in a market cycle, with prices swiftly moving away from that peak. The second wave transpires during the Bear Market's trough, as the price floor for that cycle is established and tested. The third wave unfolds post-cycle bottom, with prices showing an upward trend in anticipation of the Bitcoin halving.
It's crucial to acknowledge that the previous market cycle experienced a significant correction following the third wave of accumulation, leading to a downward price trend until March of the halving year.
Presently, Bitcoin has attained a High-Volume Node on the Volume Profile, indicating a zone with substantial potential supply or selling pressure. This observation underscores the importance of closely monitoring market dynamics and potential corrections in the ongoing bullish trend.
Bitcoin has successfully converted prior resistance into a support level, leading to a period of consolidation as traders anticipate a potential breakout.
Conversely, if Bitcoin is unable to solidify the former resistance as support, it may experience a decisive breakdown, reverting back to a previous trading range.
After analyzing Bitcoin across various time frames, we have concluded that there is a significant likelihood of BTC ranging between approximately 33,500 and 30,000. However, in the long term, the outlook remains bullish.
A similar pattern was observed in the last bull run, where a final substantial drop occurred, eliminating inexperienced and small traders, before the onset of the bullish market. Therefore, it is advisable to stay vigilant, adapt to Bitcoin's movements, and continue learning in order to navigate potential market fluctuations.
This chart is likely to help you make better trade decisions if it does consider upvoting it.
I would also love to know your charts and views in the comment section.
Thank you
Bitcoin (BTC) is currently operating within a bullish channel and has recently experienced a bounce off the support provided by the ascending trendline and the 100-day moving average (MA). The cryptocurrency is presently trading within the Ichimoku cloud, accompanied by the Relative Strength Index (RSI) signaling a bearish divergence move.
For a bullish trend confirmation, it is imperative for the bulls to regain momentum and achieve a decisive breakout above the horizontal resistance level, approximately around 38,000. Conversely, a sustained breakdown of the ascending trendline would suggest the potential for a short-term correction.
In simpler terms, Bitcoin is following an upward trend, finding support at the ascending trendline and the 100-day moving average. However, caution is advised as the RSI is signaling a potential bearish divergence. A clear breakthrough above the resistance at 38,000 would be a positive indicator for a bullish continuation, while a sustained break below the ascending trendline could indicate a short-term correction in the market.
(Daily time frame)
On the daily time frame, Bitcoin (BTC) has exhibited a volatile pattern, characterized by both a breakout and subsequent breakdown. This fluctuation weakens the established support, emphasizing the importance of a conclusive breach of the 38,000 resistance level and the subsequent closure of a daily candle above it to solidify the support.
The Relative Strength Index (RSI) is currently in the overbought range, suggesting an elevated market condition that may require a period of relief. This, coupled with the choppy price movement, raises the likelihood of a correction in the market.
Key support levels to monitor are approximately 30,000 and 33,500, serving as local support. Until a decisive breakthrough and daily candle closure above the 38,000 resistance level occurs, caution is advised, as there is a heightened probability of a market correction, especially given the overbought condition signaled by the RSI.
(WEEKLY TIME FRAME)
Over the past weeks, Bitcoin has experienced a surge in price, entering a phase of notable price discovery and achieving new yearly highs by surpassing the previous consolidation range.
Historical research reveals a consistent pattern of Bitcoin accumulation in past market cycles.
The initial wave typically occurs shortly after Bitcoin hits its All-Time High in a market cycle, with prices swiftly moving away from that peak. The second wave transpires during the Bear Market's trough, as the price floor for that cycle is established and tested. The third wave unfolds post-cycle bottom, with prices showing an upward trend in anticipation of the Bitcoin halving.
It's crucial to acknowledge that the previous market cycle experienced a significant correction following the third wave of accumulation, leading to a downward price trend until March of the halving year.
Presently, Bitcoin has attained a High-Volume Node on the Volume Profile, indicating a zone with substantial potential supply or selling pressure. This observation underscores the importance of closely monitoring market dynamics and potential corrections in the ongoing bullish trend.
Bitcoin has successfully converted prior resistance into a support level, leading to a period of consolidation as traders anticipate a potential breakout.
Conversely, if Bitcoin is unable to solidify the former resistance as support, it may experience a decisive breakdown, reverting back to a previous trading range.
After analyzing Bitcoin across various time frames, we have concluded that there is a significant likelihood of BTC ranging between approximately 33,500 and 30,000. However, in the long term, the outlook remains bullish.
A similar pattern was observed in the last bull run, where a final substantial drop occurred, eliminating inexperienced and small traders, before the onset of the bullish market. Therefore, it is advisable to stay vigilant, adapt to Bitcoin's movements, and continue learning in order to navigate potential market fluctuations.
This chart is likely to help you make better trade decisions if it does consider upvoting it.
I would also love to know your charts and views in the comment section.
Thank you
Note
Bitcoin (BTC) is presently demonstrating an ascending trend, having rebounded after retesting above the Ichimoku cloud. The cryptocurrency is currently trading below the resistance of the trendline.
For a robust bullish confirmation, it is crucial for the bulls to achieve a decisive breakout beyond the trendline resistance. On the contrary, a rejection at this level would suggest the possibility of further consolidation in the market.
Note
BTC Hashrate Update: New Highs and Price Analysis
Providing a quick update on the recent hashrate's achievement of new highs and its impact on price action. Historically, we observed a significant BTC price reduction following new hashrate highs. However, this trend shifted after September 15th when the dominant BTC Spot ETF rally took precedence, propelling BTC's price up by more than 30%.
It's noteworthy that we experienced another hashrate high two weeks ago, falling within the typical time-frame and the range of the usual pump before a subsequent decrease. The anticipated pullback target is likely to be between 30,000 and 31,500. Stay tuned for further developments.
Trade active
No changeNote
Bitcoin (BTC) is currently trading below a descending trendline. However, indicators such as the 100-day Moving Average (MA 100) and the Ichimoku Cloud signal a potential bullish trend. Confirmation of this upward sentiment would come with a decisive breakout above the trendline. On the other hand, if the price experiences rejection, it could lead to further consolidation.
Note
Bitcoin (BTC) faced resistance at a horizontal level and triggered stop orders below the ascending trendline support. Presently, it is attempting to reclaim its position above the 100-day Moving Average (MA) and the Ichimoku cloud. A candle closing above these levels would confirm a bullish trajectory. However, if there's a rejection and a prolonged breakdown of the ascending trendline, a correction is anticipated.
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