BITCOIN | Possible Targets & How To Identify Them!?Hi,
I get a lot of questions, and even I have seen a lot of bets, where the price of Bitcoin goes? So, let's do it the same! Leave a comment and tell us your thoughts about where it goes, is it 70k or 80k or 120k, name it, and say why you think so - is it just a guess or you have some technical criteria to look for. The most accurate call will win free technical analysis of your favorite altcoins ;) The game ends after we have seen at least a 17-20% correction.
The target areas.
To predict and narrow the price levels above the ATH is quite tough, luckily I have some tools which have helped me to do that. Obviously, they aren't so precise to start to short from there but they can be a good partial take profit areas.
Tools that might help you to find take profit places:
1. Channels - the upper trendline of the channel can be very precise resistance level from time to time.
2. Channel projections - quite often the price moves in channels, as you see on the image, black lines form a perfect channel. Channel projection assuming that it starts to form a channel. You need two dots to draw the trendline below the candles and one dot above the candles to copy/paste the lower trendline to the high-dot. Channel projection is the orange lines in the chart. Short-term very good to predict bounces.
3. Equal waves of AB=CD, will not explain it but perfect if the AB=CD matching perfectly with channel projection.
4. Fibonacci Extensions are also quite good to predict take profit areas.
5. Round numbers, psychological numbers.
So, using these tools I found some areas to keep an eye on. The first target area will stay around 70k. There is a minor trendline, channel projection, 2x equal waves of AB=CD, Fibo Extensions and 70k will act as a round number. At the moment, they all act as resistance levels and matching quite perfectly with each other around 70.
Always look for several criteria to narrow the target area. If you can draw multiple criteria into one place it will give much more power to the potential target/resistance area
As said previously, it is only the target area - full target, partial target, or whatever. Never try to short from these levels. You can start to think about shorting only then when the price has stopped around your identified area, has stayed there to consolidate and lower timeframes offer some price action to keep an eye on. To try to short immediately after the price has reached the area, you will burn your fingers, hands, body and etc. entirely, especially in these market conditions.
The pre-mentioned target area is currently the strongest and nearest but I have put another one a bit higher. It is not the case atm but still, a good example of the channel and AB=CD crossing area. It says slightly above 80k.
Can you jump into the possible another leg upwards? Yes, around 60k will be technically a good place for a retest.
On the weekend I shared in the other site quite a step-by-step break and a retest, which took a bit more time than expected but worked out perfectly - break above 60k and retest afterward, and here we are.
Hopefully, you found something helpful for your further analysis, especially for identifying take-profit places.
Stay healthy,
Vaido
