- BTC rallies dragging alts up with
- Becomes saturated with high levs and increased funding
- Sell off to rinse levs but scares new participants leading to larger sell off
- BTC finds strong support, grinds up and prepares for the big rally through October
- What if? Zhupercycle: BTC -> Majors -> Alts/DeFi
- Check previous TA on LINKUSDT
- Bounced perfectly off the key ranging level (yellow box) after testing $10.5 again
- Continous projection along the upward trendline
- Strong bullish signal if it can close within the "golden pocket" (above 0.146 fib level)
- Note that money will be transitioning into ALTS and DeFi
- Use ETH/BTC as a gauge for the transition in...
- ETH has consistently been respecting key fib levels as well as printing higher highs and higher lows.
- Continuous bullish validation through the reclaim of the upward trendline.
- Rejected at the resistance of approx. $637 almost perfectly.
- Hoping the drawn-out scenario plays out for more accumulation around the yellow box range area.
- Overall, ETH has...
- Bullish bias still valid
- Potential shakeout
- On a strong fib (0.5) support at $10.2
- Expected sideway action range $10 - $12
- Wait to see PA, could range up to 0.414 fib level and retest current levels
- Ideally, we want to see S/R flip on 0.414 fib level
- Don't like how the 200 EMA was nuked through
- Could see another leg down but most ALTS are just...
- Within the key fib levels of 0.414
- Continuous uptrend, no signs of breaking it
- Tends to bound during this region of accumulation
- Strong strength in BTC pair
- Can long on the breakout or wait for the retest of the golden pocket
-
VERDICT: 3/5 Trade Set up
- 4hr closed above the cloud.
- Bounce of respective fib levels as well.
- 1hr bouncing of the conversion line (BLUE)
- Could potentially be forming a TK cross (Bullish)
- If closes above 0.16, could see movements ranging from 0.158 - 0.168
- Funding rate flat
