Loading ...Bitcoin Alert
This is a post I did not think I would be writing. But here it is anyway. As you can see from the patttern on Bitcoin that has developed during April we have what appears to be a topping pattern (Head and shoulders style) in the presence of a very large expanding wedge. Now I am not saying this thing is going to break down and crash as that would be a hard call to make just yet. But this alert is going out to you today to warn readers that once price breaks below the neckline shown we will have the technical conditions in play that could result in a very steep fall.
If you are actively trading Bitcoin my best advice is to be sure you have stops in place in the event of a sudden reversal. We all know that computers and algos rule most trading these days and thay are programmed to take certain actions when specified conditions are met. Too many of them acting at once can result in severe and unexpected price changes. The neckline in my estimation is a little more than 2000 points below the current price. Well within striking range of a single days price action. Given the broad market selloff today and that this is a traditional month of low and negative returns it is just prudent to be prepared for bad news.
All the best to my fellow Bitcoiners…..but keep your focus!
My charting style agrees with you, and that is totally independent of EW.
I hope its not because the power goes out everywhere.
Because that would explain the EW counts for SPX with their steep declines also. I don’t like dwelling on what may be lurking out there capable of this much damage.
It’s hard to know what is store sometimes isn’t it Pedro. The charts warn of trouble but they cannot explain what exactly the trouble is or where its coming from. But I also see potentially damaging declines coming for indices. I say potentially because I am not certain and there is still work to be done in the patterns before we can assign a higher probability. But there is certainly indecision in the air and depending on some fundamental factors like interest rate setting, war in Europe or conflict with China these charts could still go either way.
I would certainly defer to you both in your forecasting skills, but I will tell you there will be no spread of the war to Europe as a whole, and, if at all, it will be years before war with China. The west is, quite simply, out of bullets. Our guns are no great shakes as well. Insanity, of course, can’t be underestimated, yet it can’t be counted on either.
That is an excellent point Strider. No ammmo means no war. What in hell are they really up too? I get that America is being systematically destroyed from within and without by cooperative forces of the US Administration and all our traditional enemies working together. But why and for what purpose? And who is it really that sits atop the pyramid of power that is going to replace it all? The agenda is being driven by the wealthy nations but are they really intending to crown Asian leaders to replace themselves? So everyone is a puppet….but of whom?
Yes Farmer. Good chart. Indeed once that Neckline goes … it is a POCKET of AIR below. The WATERFALL will get VERY FAST. And ofcourse … to get people fundamentally hate cryptos and to k-ill off the last straw of faith and hope of the millenials to have any possible light at the end of the tunnel to become rich while doing nothing; the end of HODL.
Oh yeah good point on the air pocket Nightingale. If the neckline breeches there is nothing standing in the way of a price reversion until we hit congestion zones around the 23 to 24 thousand levels. So there is thousands of points of dead air space between the two lines. Should be interesting. My bet is on a decline right now and it looks good thus far.
https://finance.yahoo.com/news/former-coinbase-official-balaji-srinivasan-205038949.html
They know.
GL