Dear Bitcoin, You need more bulls, so we've decided it's time to take our last remaining bull and breed 'em!
But seriously, all joking aside, I'm just patiently waiting for the bulls to return to Bitcoin enmasse. We are at a critical juncture where Bitcoin can begin it's first true bull run in more than 60 days, or we can head back down to the $8,000 to $6,000 USD levels for one more fire sale. Either way, I feel confident we're getting a lot closer to the reversal of current Bear run. I'm watching for all of these things on my current BTC/USD chart:
On the 4 hour chart, we're looking at several resistances to break through for the Bulls to return to driving Bitcoin's price up.
We need to break the top of the Kumo, then pass through Kentan Sen on the way to finally busting through the downtrend channel's top-line. Once we're above the channel and steadily closing above it, if the volume is present and the On the Balance Volume is steadily rising, then we're much more safely into bull territory than we've been since December's reversal.
I believe we have been turning the corner for a about two weeks now with seeing more and more signs of the bulls returning. The bears have remained in control, but their grip is loosening. People are relaxing and are considering strongly whether to buy in again at this point. In short, negative sentiment appears to be turning the corner and we're also seeing a smattering of good news here and there to support that positive sentiment of the people.
On the Daily, we've bounced off the dotted green line which is a trend line going back to August, touching lows of 9/22 and 11/12. This to me is a significant trend to watch and gauge as a support "floor" This my main barometer to watching for whether Bitcoin will soar or dive for another dunking. If we go below, we can likely expect to retrace to at least the mid-point of the down channel, if not all the way to the bottom again.
For now, it's a wait and see game until I see very clear signals we've broken the bearish downtrend with absolute conviction.
This information is not a recommendation to buy or sell.
It is to be used for educational purposes only.
