BTC - Looking for history to repeat heresteemCreated with Sketch.

in bitcoin •  14 days ago 

Bitcoin's bounce may be foreshadowing some good things to come

Bitcoin recently lost the $8k support.

Once that happened it looked like prices could continue to fall much lower, with many calling for $7,500 at the very least.

Some were even calling for a test of $6k after $7k was unlikely to hold.

However, prices bounced rather significantly off of the $7,700 area and popped all the way back up to $8,300.

That doesn't quit break the horizontal resistance around $8,400 but it is significant never the less.

Why does this matter?

Well, it may not, but then again, it might.

I like to look at past patterns to get an idea of what might happen this time around, after all, history doesn't always repeat, but it often rhymes.

Back in June of this year, we had a similar setup to what we just witnessed now.

Check it out:

(Source: https://twitter.com/CryptoWallStre1/status/1181280921263042574)

It's not exactly the same, but we had a retest of support for the 3rd time and then a break of the that downtrend leading into the retest.

What happened the last time this happened you might be wondering?

Well, prices went on to rally roughly 80% in that month alone!

If that kind of price action were to repeat we would look for a move somewhere up near the year to date highs around $14k.

I am not fully expecting that much follow through in such a short time, but I would not be surprised to see us start to move back up here and challenge $10k again within the next few weeks.

Here's to seeing some rhyming action!

Stay informed my friends.

-Doc

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i await 20k then 40k ;)

Works for me!

Good spot Doc!

Your right that pattern could rhyme again as I noticed some decent buying volume on that spike back up. If Bitcoin breaks through 200 mda resistance it could very well rise higher and quickly 👍🏼

Needs to hold above that downtrend channel and I think we are set for a nice move up. We shall see.

Nice analysis.

Thanks. Hopefully it repeats what happened the last time we saw this setup.

This is completely irrelevant to this article, but Poloniex is delisting STEEM! This is bad :(

  ·  14 days ago (edited)

Low volume the reason why?

I don't know. I just received an email from their customer support this afternoon and it didn't say why.

  ·  14 days ago (edited)

Low volume would be my best guess as well.

Poloniex in general has been trending down in terms of activity, but it's still not good to see.

History might not repeat every single time, but the big mistake is if we don't learn from history...

Very true. Hopefully it repeats at least just a little.

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