$BTC 2020-OCT-28

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THIS IS NOT THE BREAKOUT YOU HAVE BEEN WAITING FOR

It’s really easy to get excited when Bitcoin starts ramping up. Suddenly Social Media gets full of people proclaiming all sorts of nonsense technical analysis , and new comers looking for their share of the gold rush all show up like moths to a flame. This is November 2017 all over again, right?

Maybe. Maybe Not.

There are undoubtedly similarities between the two periods, as I have written about previously. But there is still a rationale and reasoning that Bitcoin is following in it’s current rise. The same regression channel is very much acting as a key boundary for this entire trend since March. Additionally, the recent consolidation period offers us a nice technical target that coincides with the top of the channel at around $15xxx. There is no question that this is an exciting time for new blood entering the market – but there will still be moments are slowed consolidation as the price inevitably returns to it’s mean.

Regression Banding suggests that you should not be buying right now…

RSI is also overbought, and volume is still broadly declining (except some spikes).

#crypto