Bitcoin (BTC) Price Update: Support Holding Nicely

Hi guys!

I mentioned on my previous post about bitcoin having many support.

As you can see there currently bitcoin has a lot of support from different trendlines and cloud (ichimoku cloud) so as long this support holds the head and shoulder pattern is going to be invalid.

Here is the current price action continuation from yesterday on bitcoin.

BTC - 12 Hour Chart

Tools used: Fib-Channel, Ichimoku Cloud, Stochastic RSI and Trendlines

Although the stoch RSI is on oversold territory it doesn't mean that it will reverse to the upside just yet. I think if bitcoin consolidate for the next few days it could have a breakdown on that kumo twist I mention on the chart (2nd of March 2018).

BTC - 4 Hour Chart

Tools Fib Retracement and Trendlines

If this head and shoulder scenario plays out, I would pay attention to this 0.5 fib retracement because this price level is likely going to be retested (around $8,900).

Check how the layout of the fib channel, it lines up very nicely with the current support level (0.382 fib retracement from previous $6,000 low). I think this has a high probability of being retested if bitcoin have another pullback.

Disclaimer

You know the drill guys. This is just opinion and not a financial advise. Do you own research and decide your own trades. Cheers!