Bitcoin, Approving The Breakout, Here Is What To Consider!

4 พ.ย. 2020

Hello Traders Investors And Community,

Welcome to this analysis where we are looking at Bitcoins 4-Hour timeframe perspective, the recent events, the current formational structure, what we can expect the upcoming times and how to possibly handle the situation in an appropriate manner. Bitcoin since a longer time now trades within this preliminary important ascending-channel-formation which will show a breakout to the up or downside sooner or later and in this case, as the price action within the formation has developed a breakout to the upside is more likely to be expected at the moment, however, there are some necessary and important price-actions Bitcoin has to show up with to consider this breakout fully emerging and pointing to a continuation, therefore, I detected all the important levels and likely outcomes we should consider at the moment with Bitcoin and its upcoming destinations.

When looking at my chart you can watch there that Bitcoin has built this triangular-formation where it managed to breakout above the boundary and move on to test the upper boundary of the major ascending-channel-formation, now as it is more likely for Bitcoin now to form a pullback from here to the breakout level this can happen as it is marked in my chart, in this case, Bitcoin has the support-cluster marked in blue where several supports coming together consisting of the descending-trend-line in blue, the 20-EMA in red and also horizontal support lying there all together forming this coherent support-cluster where a bounce to the upside is likely, here it is from high importance that Bitcoin really manages to bounce from this level and does not fall below it again because this can possibly invalidate the bullishness.

Bitcoin is in a situation where it has to show how strong it manages to bounce from the support-cluster, when this bounce is strong enough and Bitcoin shows up with the proper bullishness from there this can be the origin for a final breakout above the upper boundary, when Bitcoin manages to move above the upper-boundary with a decisive volatile bullish move it has a high possibility to continue bullish to the upside as bitcoin then taken out several important resistances and also completed the formation. On the higher timeframes, it will be interesting how long this bullishness holds on and how it will react into the remaining resistance levels above, when Bitcoin manages a breakout above the channel it has a good bullish pace however the bearish pullback scenario on the more middle-to-long-term should either not be fullý kept by side here.

In this manner, thank you, everybody, for watching, have a good day as well as good trading, all the best!
“Trading effectively is about assessing possibilities, not certainties.”

Information provided is only educational and should not be used to take action in the market.