(Bitfinex Chart)
BTC its in a ascending channel, since aug 14 when it bottomed to $5900ish zone. Starting a bullish rally to $6500 zone, as an EW 1 is finished and where its corrections starts, an accumulation phase that last until the 21st of aug, when in the range of $6200 continue again with the 3th EW, and soars from this past range to $6850 in no more than 2 days (+10% in less than 48 hours), with the RSI indicating the asset been overbought, at a 79 level; at the same time the MACD indicates a bearish correlation, giving more strenght to a change of tendency in lower time frame. The 4 EW tanks BTC´s from $6897 to $6261 (9.54% in 20 Hours), where it´s trend change is indicated by a bullish Inside bar pattern, where the 5th EW starts, with a more sideways wave, the same as the RSI indicator which slowly bullrun in the area of 45 to 55+; even though the MACD had a bearish divergence, it rebound at the upper side of the osccillator, giving more strength to the bulls. The volume increases slowly, until august 27 where it has a significant (but not astronomical) increase on it giving a push to $7154, having a RSI at 76, MACD with a strong bearish divergence where in facto changed it trend. Next posible scenario for btc is to re test the lower frame of the ascending channel, and then we can see if it rebounds around the $6600ish zone or continues with its downtrend to a next support of $6200 zone. I can incline myself more for the rebound.
BTC its in a ascending channel, since aug 14 when it bottomed to $5900ish zone. Starting a bullish rally to $6500 zone, as an EW 1 is finished and where its corrections starts, an accumulation phase that last until the 21st of aug, when in the range of $6200 continue again with the 3th EW, and soars from this past range to $6850 in no more than 2 days (+10% in less than 48 hours), with the RSI indicating the asset been overbought, at a 79 level; at the same time the MACD indicates a bearish correlation, giving more strenght to a change of tendency in lower time frame. The 4 EW tanks BTC´s from $6897 to $6261 (9.54% in 20 Hours), where it´s trend change is indicated by a bullish Inside bar pattern, where the 5th EW starts, with a more sideways wave, the same as the RSI indicator which slowly bullrun in the area of 45 to 55+; even though the MACD had a bearish divergence, it rebound at the upper side of the osccillator, giving more strength to the bulls. The volume increases slowly, until august 27 where it has a significant (but not astronomical) increase on it giving a push to $7154, having a RSI at 76, MACD with a strong bearish divergence where in facto changed it trend. Next posible scenario for btc is to re test the lower frame of the ascending channel, and then we can see if it rebounds around the $6600ish zone or continues with its downtrend to a next support of $6200 zone. I can incline myself more for the rebound.