Bitcoin 4hr analysis 8/20/20
(The red and green arrows are the Aurox Indicator and they recommend a buy or a sell. Red indicates where you should sell and green indicates a buy zone. Pretty simple indicator but rather effective if I do say so myself.)
Good morning again ladies and gentlemen and welcome back to my daily analysis of Bitcoin. Today I have my 4hr chart pulled up today after a drop to around 11600 overnight. No sweat right? I mean support held. But what is next for Bitcoin? We have been in a tight spot on the 4hr for the last few candles and I think we will get some relief sometime today. Whether we end up above the cloud or below the cloud is the question. But anyways lets take a look at the charts this a.m.
I see we did lose the support of the 4hr 50 MA which is now resistance. That is what happens on a chart. The indicator that was once the friend of the bulls and provided support for most of August is now resistance. So now that we have established the 4hr 50 MA is resistance lets look at support. We found support upon the top border of the Ichimoku cloud. If we can remain above the cloud we should retake the 4hr 50 MA by default. I mean its not 100% but the space between the 4hr 50 MA and the cloud is minuscule.
By the 21st we will either walk up the cloud to 12100 or we will enter the cloud. There is no way around that. We can easily climb up and over this cloud but the bulls need to wake their butts up or we will likely enter the cloud. When you enter the cloud it is confining and can cause consolidation. I like to pay attention to the bollinger bands on the daily time frame most of all and the bands are considerably tight at this point in time. That could indicate that volatility is on the horizon. While a break down is always possible the more support below us the more confidence there is in the market. So cmon bulls! Retake that 4hr 50 MA.
all want to see a straight shot to the moon but the candles rarely ever take that route. You may look at losing the 4hr 50 MA as bearish but just zoom out a bit and you will see reason to be bullish. I know I may sound greedy but I really desire to see us break last years high of 14k. I know the bulls can pull this off. Fomo would likely be in full effect by this time but breaking 14k would cause more buys as higher highs tend to do. I guess we need to worry about 12k and 13k before we worry about 14k huh lol. Have a great day folks! Make good choices! WTFDIK???
TLDR: We are still above the 4hr cloud. we lost the 4hr 50 MA. Bulls can easily reverse this misfortune. We are stuck between the 4hr cloud and the 4hr 50 MA. Im thinking in the next few days max we will have an idea of the direction. the key is remaining above the cloud!!!
I see we did lose the support of the 4hr 50 MA which is now resistance. That is what happens on a chart. The indicator that was once the friend of the bulls and provided support for most of August is now resistance. So now that we have established the 4hr 50 MA is resistance lets look at support. We found support upon the top border of the Ichimoku cloud. If we can remain above the cloud we should retake the 4hr 50 MA by default. I mean its not 100% but the space between the 4hr 50 MA and the cloud is minuscule.