Bitcoin Price AnalysisTechnical Analysis

Exclusive Bitcoin Price Analysis December 10

Bitcoin and several other altcoins have recovered from their daily lows, indicating strong and healthy demand at lower levels.

To Report In the recent Reddit Q&A by Coin Telegraph, Ray Dalio, a well-known investor, warned investors that the current astronomical speed of money printing is unlikely to stop in the near future, so keeping cash could eventually lead to Let them lose. Dalio also said that Bitcoin could be considered an asset diversification class alongside gold and other financial assets.

A new report from CoinShares Investment Fund suggests that the flow of capital from gold to digital currencies may have even begun some time ago. The report shows the outflow of $ 9.2 billion in gold capital and $ 1.4 billion in inflows into the digital currency market over the same period. Interestingly, along with Bitcoin, investing in Ethereum has also attracted attention.

As corporations increase their investment in the space, Mike Novogratz, CEO of Galaxy Digital, recently acknowledged in an interview with Cyan News that investors should invest about 5% of the net worth of their assets in Bitcoin. And invest some more in Ethereum. He did not rule out the possibility of a 40 to 40 percent correction in the price of bitcoin, but claimed that the price would not reach zero.

Tyler and Cameron Winklowas, famous Bitcoin twins and Gemini Exchange senior executives, advised the participants of the Singapore Fintech Festival to increase their knowledge about Bitcoin through training, as they believe that the price of Bitcoin in the future will be a strange figure. It will reach $ 500,000. While this long-term picture looks bullish, retailers may be having a hard time approaching the HODL approach in the event of a sharp drop in prices over the past two days.

Now, at the beginning of the technical analysis discussion, we want to introduce you to one of the influential people in the science of technical analysis. Thomas N. Bulkowski is considered by many traders to be one of the world’s leading graphic pattern writers. He is a successful investor and trader with more than thirty years of experience in the stock market. The Stock Traders Yearbook has selected Mr. Balkowski’s acclaimed 2003 book Encyclopedia of Graphic Patterns as the Book of the Year. The pattern that we intend to study in website Mr. Balkowski is referred to as the Busted Symmetrical Triangles. Most traders consider the symmetrical triangle pattern to be the continuation pattern of the trend, but a particular way of moving the price after breakout introduces us to another pattern called the semi-functional symmetrical triangle.

The possibility of breaking the price outside the pattern or the so-called price break in this pattern is possible from any direction. When the price fluctuates less than 10%, changes direction and closes in the opposite direction to breakout, the pattern remains half-finished. To improve risk and confidence, Balkowski uses the triangle’s main ceiling and floor to detect that the pattern is half-finished. However, breakout from the sides of the triangle is also considered.

The symmetrical triangle pattern in a bullish market remains semi-functional 30% of the time and is often broken from below.

Exclusive Bitcoin Price Analysis December 10
Example of a Busted Symmetrical Triangles in a share

The price breaks out at point A of this pattern and then falls to point B. This movement (from A to B) is less than 10%. The price rotates from B and moves back into the pattern and closes at point C (above the main ceiling of the triangle). In such a situation, it is said that the pattern is left half-finished because it has not seen the main purpose of the pattern in the downward path. The price eventually rises by at least 10%, and at point D the semi-functional symmetrical triangle pattern is completed with its target. Now we come to the part where we talk about the middle ground.

Take a look at the Bitcoin price chart in the four-hour time frame. The same price shows the movements of the previous image up to point B. The price has left the pattern at point A and has fallen 5.47% to point B, and in the current situation is trying to return to the pattern. Finally, according to this pattern and its goals, we can expect the price of Bitcoin to grow to $ 19,790 (point C) and $ 21,780 (point D). Of course, in technical analysis, all patterns are based on the principle of repetition of history, and the occurrence of a pattern can not be stated with certainty, and only the probabilities are examined according to graphical evidence.

Exclusive Bitcoin Price Analysis December 10
Click on the image to see the original size

In addition to the classic view, if we look at the coexistence of the Fibonacci correction levels of the two different bitcoin price waves in the same time frame, we will notice the coexistence of these levels at $ 17,700 and $ 18,500 (marked with blue arrows). The price has jumped up from the level of 61.8% correction of the recent bullish wave to $ 17,700. This point is actually point B in the semi-functional symmetric triangle pattern. In the current situation, we are facing a strong resistance of $ 18,500, so there is a possibility of short-term price fluctuations in this range in order to fill over time.

Exclusive Bitcoin Price Analysis December 10
Click on the image to see the original size

If, after these fluctuations, the rising momentum of the price takes a fresh breath and quickly raises the price above the resistance range of $ 18,500 to $ 19,000, this could be a confirmation of the goals of the triangle pattern at $ 19,790 (point C ) And $ 21,780 (point D). The positive latent divergence (+ HD) in the RSI indicator also warns of a continuation of the uptrend.

On the other hand, if the price stabilizes below its $ 17,700 support, the next stations will be $ 17,160 and $ 16,540, respectively. Finally, note that in a situation where a lot of people have recently attracted the attention of this market, the possibility of manipulating the market will be high from now on, as we have seen many times. So be sure to protect your assets by being trained in both analytics and capital management.

The final suggestion is to control your risk in the trades by optimally adjusting the loss limit, and manage your capital by entering and exiting a step in support and resistance. If you do not have enough knowledge to trade, refrain from entering trades and gradually learn this knowledge by referring to the market analysis training section. This analysis should not be considered as a signal to buy or sell.


Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button