Very Quick Bitcoin and EOS Update
Please note the update at the bottom of this post.
BITCOIN:
During my last update, I explained how bitcoin was reaching a key resistance point. It hit the 0.618 fib level (golden ratio) at the same time it hit the ascending resistance. If there was ever a time for the bulls to act, it was then. While we haven’t seen the major bounce I was hoping for, the bulls have successfully defended the golden pocket (zone between the 0.618 and 0.65 fib level) as well as the ascending resistance line. Price broke through only by a brief wick. This is a positive sign...at least so far.
The resistance has been tested and held multiple times over the last 48 hours. We now need to see price break above the supply zone between $6,310-$6,390. If price can decisively break above $6,390, it'll likely reach $6,600 (0.236 fib) where we should expect more resistance. To the down side, if the ascending resistance line is broken, we will likely drop to at least 6,185 (0.618 fib).
NOW ON TO EOS:
Since my last update, EOS bounced with just a wick right off the 0.786 fib level. This was a deeper retracement than I would have liked, but we’ll take it. Price is now operating within a wedge, creating lower highs and higher lows. This can only continue for so long. As it approaches the apex, price will likely breakout in one direction or another. This should happen within the next 12 hours. A break up would likely test the wave 1 high of $7.22. From there we should be ready for a bull trap (possible double top AND 0.236 fib resistance ). If it breaks through decisively, price will likely rise to the 0.382 fib ($7.65) where we should expect more resistance. If price breaks down, it'll likely test $6.50 (possible double bottom for a bounce). If $6.50 breaks, price will likely drop to $6.00.
I apologize for the very quick update and no video. I’m doing the family thing this weekend but wanted to get this out to you. Hope you’re having a great weekend!
BIAS:
Short Term: Neutral on both BTC and EOS
Longterm: Bullish on both BTC and EOS
UPDATE:
Bitcoin is now testing the 0.382 fib. A decisive break above would be a very bullish indication. If we get a strong rejection, we should prepare for a drop back down to the ascending support.
.
EOS has broken up and out of the wedge I referred to above. We now have to be cautious of a bull trap.
If you've been following my analysis, you remember the descending resistance line on the 1 day RSI.
As it approaches this resistance, we should prepare for a possible drop. If it's able to decisively break through, we'll know this latest rise has legs.
I hope this has been helpful. I’d be happy to answer any questions in the comment section below. Until next time, wishing you safe and profitable trading!
Workin
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by Workin2005
I like the update but I'm short on EOS at the moment.
Published my analysis and my opinion yesterday and, from a technical point of view, I can only see a downtrend continuing to form new lows :)
Good luck!
Good luck @forex-intraday. What was your entry point? Did you get stopped out with that recent rise from $6.90-$7.45? Or are you still short?
As EOS approaches that descending resistance on the 1 day RSI, we should get an idea of whether or not this latest jump has legs, or is just another bull trap.
Hey @workin2005, I'm not shorting EOS, I'm just waiting for a better price to buy it :)
This is an uptrend line that I drew on a daily chart. Here it is on an hourly chart.
After the breakout, the price is testing the old key-level. Nothing new from a technical point of view. Let's see if the price is able to go higher than that.
Good luck!
Oh...I guess I misunderstood. I took it literally when you said you where "short on EOS". My bad. Anyway, I wish you all the best @forex-intraday!
Ahahah actually my bad! Do you have a broker that allows you to short cryptocurrencies?
I have an American broker that I use to trade Forex and Stocks, but it only quotes Bitcoin.
You can short on Bitfinex, Kraken and BitMEX. It's a little more difficult if you live in the US, but where there's a will there's a way. I Always use a VPN for security. ;-)
Thanks! I don't live in the US, but I always used Bittrex and Binance, even if I knew the others. I'll have a closer look at those, thanks!
My pleasure
Agree on EOS, my target was in the $5 area, but that's what makes trading wonderful...people see the Markets from all angles.
Agree on the many angles. Crypto especially is the wild, wild west at the moment. Have you ever seen so many conflicting predictions from very talented analysts?
My analysis above is for the short term...i.e days. In the coming months, I believe EOS may see $5 if BTC drops. I can see a possible path to $5,000 for BTC and $5 for EOS...especially if BTC is unable to clear the $6,800 resistance in the next week, and $7,700 resistance in the next 2-3 weeks. If BTC clears $8,500, I'll start believing we may have seen the bottom. Until then, there are too many possible paths to $5,000 or lower.
What's so, so cool is that everyone of else can make a convincing argument where price is going, even potentially change our opinion. My wife thinks trading is gambling, I think it's speculation and I think trading is the greatest thing on earth.
I couldn't agree more. Trying to 'solve the puzzle' and outwit the market is one of the most challenging, yet rewarding things I've ever done...not to mention an absolute blast.
thanks for the update buddy
My pleasure @rahulwasan
bro amazing update about EOS, i would follow you , pls give me your telegram or discord ID
Thanks @online87700. You can find my twitter and Facebook at the bottom of the above post.
Nice analysis looks like EOS and Bitcoin want to head in opposite directions for now.
Thanks my friend. In the long run, you may be right. In the short term, I think EOS will follow BTC...just to an exaggerated degree. ie...If btc goes up, EOS will rise at a greater rate and vice versa.
@workin2005 Pretty good.
Brother i 100% upvote from Steemfollower @dulborah courtesy of @workin2005 ... bro Now your turn...brother please vist my link and support me @dulborah thnk
wow nice concept sir..
Thanks for the update buddy...
thousnad of people are giving update on crypto everyday but I believe only few because most of them are just doing business.