If we look at the daily chart of Bitcoin, we should note a double bearish divergence as a strong trend reversal signal. The market looks overbought and it's near 8000.00 resistance level which is a possible reversal zone. RSI confirms price reversal. In spite of MACD still gives a bullish signal, we should be ready to see a correction movement. If we talk about any other market, the bearish divergence is a good signal for closing long trades. But this market is in strong uptrend with great potential for further upward movement. It can jump higher even it looks overbought. This market has strong fundamental support, that's why Bitcoin can break 8000.00 and make a new high before a deep correction movement which should be also. We can try to catch possible upward movement opening short term trades. I wrote about such buy signal in the previous post about Bitcoin. Also it's possible to fix only the part of profit and leave the rest trade volume for long run. It will allow you to maximize the profit. But what if the bearish divergence will be realized as a reversal signal? In such way we must be ready to see falling to one of SMA with periods 50 and 100. The round number levels like 6000.00 and 5000.00 will make SMA50 and SMA100 more strong for revesal signals. Reaching these support zones will give us good trading opportunities. But will the market fall to these levels? It's a good question. We should watch for the market and be ready to both variants of price movement. And what do you think? Please, share your ideas in comments.
Komentar
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The price still stays near 8000.00 level. We don't have a solid signal confirming the price breakout above the resistance level.The daily chart still gives us the bearish divergence and the trend reversal signal. Be careful with trading in this zone.
@New_wave, an upvote, but you are offering unrealistic hope. you have something with limited supply now being purchased with unlimited credit. I don’t see a ‘correction’ in this coins future - unless it’s your perspective of it’s value to gollum and his whales
UnknownUnicorn1084844
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@tcblue, What about the fact that the exchanges are scum ?
luckysteem
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Hi. Any update now? Bitcoin above 8000 usd.
DLavrov
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@luckysteem, yes, but for confirmation, we'll need wait for close price of the day above 8000.00 level. If we are talking about the daily time frame.
OTCLABS
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@DLavrov, Dimitra, thanks for sharing your insights..when can we say "close price of the day" what is the daily time frame.. BTC markets are open 24H a day...
Thanks. I am long on BTC.. my vision is that all markets, governments, banks and related systems still have to get used to the possibilities of blockchain.
There is a lot of room for growth .. it will go with trial and error, but it is the system that will distribute the prosperity better and fits better in a globalizing world.
fceuropa
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@OTCLABS, I had this same question a while back and it seems trading day (in trading view at least) starts midnight London time (UTC +0). Doesn't matter how you change your timezone in trading view, the candles don't change. Gives an indication of how influential the UK was back in 1884 when the world agreed to calculate longitude from the Greenwich meridian :)
DLavrov
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@OTCLABS, ok, let's say in other way, we have to wait for a new daily candle