Bitcoin Chartpunk Daily Alpha #52

Market Structure

Bitcoin HTF Market Structure 2021.11.18.
Bitcoin LTF Market Structure 2021.11.18.

Predator Charts

Bitcoin 3-day Predator 2021.11.18.
Bitcoin 1-day Predator 2021.11.18.
Bitcoin 8-hour Predator 2021.11.18.

Summary

Bitcoin is still in a long term bullish HTF market structure, with immediate support at 58800, and an ultimate support zone of 53000–50000. As long as these levels hold, the long term bullish momentum will be intact. LTF charts however are controlled by the bears, and strong price action above 65000 would be necessary to enable an attack on the 66350 prior swing high. The StochRSI is approaching oversold territory on the 3-day chart which has served historically as a great entry point for long term DCA Bitcoin hodlers and investors.

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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. My core strategy in trend trading is to look for a market setup where the 3-day chart is indicating a solid trend, and is supported properly by the 1-day and the 8-hour charts.

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