Bitcoin Chartpunk Daily Alpha #16

8-Hour Bitcoin Chart

Bitcoin 8-hour 2021.10.12.

1-Day Bitcoin Chart

Bitcoin 1-day 2021.10.12.

3-Day Bitcoin Chart

Bitcoin 3-day 2021.10.12.

Summary

Since the end of September, Bitcoin has had an amazing run of approximately 40%. Both the Fibonacci levels at 44k and 53k have been sliced through showing extreme power. A healthy consolidation has been pending now for almost a week, and it has turned the 53k level into a nice support. We have not seen any significant pullback during the 40% run, not even during the pending consolidation. These are signs of extreme power, but still, a pullback may not be excluded and would absolutely not be unhealthy. As the price is nearing the ATH zone, the selling pressure will grow, as many people expect the ATH zone to serve as a very strong resistance before a breakout. I am long, and I am expecting to visit the ATH zone very soon. Dips are for buying, nice loading areas will be the 53k level and the 48k level of the 20-period moving average of the 3-day chart.

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What is trend trading?

Trend trading is a market strategy that is reasonably different from swing trading or day-trading. A market “trend” is a tendency of a financial market price to move in a particular direction over time. Swing traders and day-traders are usually trying to pinpoint low-term market tops and bottoms, and take aggressive positions expecting to profit from a swift change of market direction. Trend traders are looking for consolidated and strong directions on a given market, and are trying to ride the trend for as long as possible. These traders normally enter in the market after the trend “properly” establishes itself.

What is the indicator coloring my chart candles?

I am using the Predator indicator from Decentrader as my core trading tool, that is coloring my candles green-red-turquoise-orange, and is providing me basic information on the trend. I am also using the 20-period moving average and Fibonacci levels for the identification of supports and resistances.

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Disclaimer

The present article is a free material, for entertainment and educational purposes. Nothing in this post shall be considered as financial advice, you shall never make any financial decisions or financial investments based on a singly source of information and without doing your own research.

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Chartpunk

Chartpunk

Trading and hodling bitcoin since 2015 I Focusing on longterm trends I No alpha for daytrades