Bitcoin – October will be bearish!
Hi all!
Today it’s time to take a look at the local timeframe using classic TA tools. You know that Bitcoin should reach the zone between $15k and $17k. Today we will try to understand how this could happen.
Let’s look at the WhiteBit exchange chart on the 4-hour BTCUSDT timeframe. The price today is showing a small pump, but I think this is a bull trap. Look at the previously broken local trend line. It may be retested in the next couple of days, but this would be a good entry point for a short position. There is a lot of resistance at the top. First of all, a retest of the trend line may coincide with the Fibonacci golden pocket and the CPR bottom for the month of October. You know that I don’t like to use horizontal support and resistance in my analysis, but monthly CPR has proven its validity. Moreover, the central CPR coincides with the strongest supply zone at $20,200. I don’t think Bitcoin will be able to overcome all these resistances.
Taken together with the analysis of Elliott waves from the previous analysis of BTC, we can conclude that it will fall. The first target is the Fibonacci extension -0.618. But the most likely target is the monthly pivot S1. It would take a long time for a madman to touch S1 with compression. Get your bags ready!
Best regards, Ivan