Hi friends, hope you are well and welcome to the new update on Bitcoin ( BTC ).
Continuously harmonic patterns formation:
The price action of Bitcoin is moving in a descending triangle since May 2021 and at the same time, the priceline is also forming different harmonic patterns. And I have been sharing all these harmonic moves with you from time to time.
1st the price line of the leading cryptocurrency formed a bullish harmonic Gartley pattern and after getting bullish reversal from the buying zone of this pattern the price action formed another bullish harmonic Cypher pattern and from the potential reversal zone of this pattern priceline started the next rally and then formed another bullish harmonic shirt move.
New expected Shark pattern:
Now the price action is likely to complete another bullish harmonic Shark move . Because all the legs are driven perfectly as required for the harmonic Shark . Now if this pattern will be completed then the buying in sell targets can be as below.
Buy between: $29568 to $27934
Sell between: $31244 to $34745
An expected rising wedge can invalidate the harmonic move:
On the daily time frame chart, in order to avoid the completion of the harmonic Shark the action needs to confirm up-trend line support and once the price action will be reversed bullish from this support then a rising wedge pattern formation will also be confirm. Because, so far we have several touch points at the resistance of this expected move but at the support so far we have only two touchpoints. If the price action hits this support once more and then moves towards the upside then the pattern will be confirmed and the move of bullish Shark will be invalidated.
Fibonacci golden pocket and support of 50 SMA:
On the weekly timeframe chart, we have great strong support from $28800 to $31000. So far the price action is respecting this support zone very clearly. At the same time the priceline of the leading cryptocurrency is also having very good support of the 50 simple moving average weekly as well. If the price line will complete the harmonic Shark pattern on a daily time frame then it is also possible that the price action will hit the Fibonacci golden pocket of 0.618 Fib, which is considered as a bullish reversal area among the trader’s community.
Conclusion:
The movement in the triangle and the formation of the different harmonic patterns has made it easy for the day traders to trade Bitcoin on the daily basis. However, for the long-term holder at this time, it is really very difficult to understand whether they should hold the Bitcoin or sell it to minimize their risk factor. However, the strong support zone is clearly showing that the price action can have a very powerful bounce towards the upside at any time.
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In order to play and watch the current performance of the chart you need at least a free account on tradingview:
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Link for Binance exchange, to trade crypto:
https://www.binance.com/?ref=11256882
Note: Above idea is for educational purpose only. It is advised to diversify and strictly follow the stop loss, and don't get stuck with trade.