Bitcoin, Meaningful Step, Proper Alignment More Possible Now!

28 jul 2020

Hello Traders Investors And Community, welcome to this update-analysis about bitcoin weekly timeframe perspective, the fundamentally significant events occurred, what this now means for the overall weekly timeframe structure already mentioned previously and what we can expect from this the next times. The important falling resistance I pointed out bitcoin established was now taken out with a volatile candle to the upside which was needed to activate the proper scenario A and increase its probability further, I highly recommend that you watch this analysis to have a full-depth-overview also to this analysis which is coherently following up to the past one, further I made some levels thicker and like the second falling resistance which is a level of high importance currently, the step above the 10.000 psychological resistance was highly important and necessary for further alignment.

As you can watch now marked in the chart bitcoin has just confirmed above the first falling resistance and testing now the upper boundary of the smaller channel it is trading in which is a resistance where bitcoin bounced already several times, therefore, it is in the possible spectrum that bitcoin does this another time now before moving up to test this upper boundary again to final confirmation. This resistance and the overbought condition bitcoin is trading currently in can indicate the bounce to the previously established support/resistance mark at the 10.000 - 10.500 level you can watch marked in orange where bitcoin has now some solid support by the resistance developed before. These facts lying ground for the more probable scenario A which was that bitcoin moves above the falling resistance before making a correction before.

Currently, bitcoin has pierced the second large falling resistance you can watch marked in red, which I also made thicker because this is the more important resistance of the two. The factor that bitcoin pierced this line and also closed above it by weekly close can be a first indication that bitcoin also takes out this second falling resistance. When bitcoin takes out these last resistance levels there is definitely room to move on with scenario A and value above. As mentioned before this was the needed price action to validate scenario A and invalidate the B and it was also one step for bitcoin to hold on to the pace which some altcoins already established. We will watch how this whole scenario is playing out in the more likely scenario and especially how bitcoin will proceed when the scenario has played out properly.

Bitcoins situation compared to other global markets is currently a healthy one as the major stock-indices still trading below all-time-highs and showing mixed signals bitcoin has shown strength now but now it is more important to hold this strength and build on it where there should not come bearish signs which can invalidate it again, by the way, it was a really profitable time in the elite channel where we profited out of the volatile movements, further it should be noted that a dramatic increase in the corona and the fears resulting out of it can lead to high volatile selling to the downside similar which affect all global markets similar to those price-actions seen in march this year, when this does not happen bitcoin has a good future ahead, in such situation it is important to not rush into bad trades with FOMO as this happens often these days, it is better to wait then make risky decisions when the train already passed.

In this manner, thank you for watching, support for more market insight, have a great day, and all the best to you!
Trading effectively is about accessing possibilities, not certainties.

Information provided is only educational and should not be used to take action in the markets.