Bitcoin 1 day analysis 10/9/2020


Good morning ladies and gentlemen and welcome back to my daily look into the world of Bitcoin . Today I decided to take a look a the daily time frame after breaking free from the consolidation that plagued us for weeks. I definitely enjoy waking up to nearly 11k BTC , but what is coming next? More pump or are we heading for the dump??? Lets take a glance at the charts and see what we can see.

The first thing I wanted to bring up is the break out. We broke free from the triangle I drew on the chart over a week ago. These triangles typically result in a break out of some sort. The suppressed movement seems to build up and as a result we see a jump when it does finally pop. The issue is picking whether it goes up or down… In fact that is the biggest question of them all. As traders we try our best to make that call. Luckily for me when I do get it wrong the stop loss I set saves me 49 times out of 50. Im not going to pretend a stop loss is the perfect fool proof plan but Ive said it before and Ill say it again… Trading without a stop loss is like jumping from a plane without a back up parachute. Will you live? Probably. But why risk it? Just pack a back up parachute.

As we linger below 11k the question remains.. Where do we go from here? Well lets look at the daily and the 4hr to see what could be in store for BTC . Well lets start with the daily. We entered the daily cloud during this pump and are currently knocking on the top border. We could very well escape the confines of the daily cloud but just above that lies the .382 fib (11100) This in my opinion is the ultimate hurdle we face at the moment. 11100 has been quite stubborn and as we approach it once again I see nothing changing. The 4hr looks bullish to me, at least with my trading set up it does. We are above some key indicators. The 4hr 50 MA, the 4hr 200 MA, the 4hr cloud are all below us. That is bullish .

If we can eclipse 11100 I think fomo can ensue. Only time will tell for sure but this market seems to thrive on fomo. We are chilling at 11k now and I love seeing that. After the Bitmex fud and the Kucoin hack one would expect a big drop . But Bitcoin has proven itself to be remarkably resilient. Bounced back just like it did on March 13 of this year. The big drop from 8-9 k to 4k… If you are a trader you can make a killing on these swings. But these huge profits are not without their own risks. Trade with caution folks. I know its easy to be seduced by green candles. But leave those emotions at the door and resort to logic. Have a great day folks. Make good choices! WTFDIK??

TLDR: 11k. Things look bullish to me. Set a stop loss