Crypto Chartbook: Bitcoin, Eighty Percent Rule-based

BTC-USD, Weekly Chart, Long term entry validation:

(Click on image to enlarge)

Bitcoin in US-Dollar, weekly chart as of June 29th, 2021.

Bitcoin in US-Dollar, weekly chart as of June 29th, 2021.

A weekly chart analysis grants a view that monthly/yearly charts have now a confirmed weekly entry setup. Present is a low-risk long entry with lower price rejections set (see wicks in yellow ellipse). We would aim in more partial profit-taking slightly below recent all-time highs. We would expect these highs to give way for prices to climb much higher.

BTC-USD, Monthly Chart, And the winner is:

(Click on image to enlarge)

Bitcoin in US-Dollar, monthly chart as of June 29th, 2021.

Bitcoin in US-Dollar, monthly chart as of June 29th, 2021.

It is an incredible feat to time, no matter how high a timeframe, a millisecond entry of a push of a button which might have significant effects on your future, and consequences materialize years from that little action of your finger. Such steps are far removed from a typical task where you shovel a hole in the ground and see with each stroke of the spate your results in real-time. In the familiar environment, cognitive aspects are aligned with intuitive physical behavior.

But it isn’t the ‘doing’ that gets you rich in the markets, but rather good planning, little work, and lots of patience. Due to these circumstances, it is imperative to always look at the larger timeframes. This will create a much broader perspective and will help to not get lost in the casualties of Bitcoin´s daily volatility. Temptations that easily lure one in for overtrading.

Observing the monthly chart, we find beauty in its simplicity. Prices trade above the 50% Fibonacci retracement level. Fractal volume analysis in addition grants support. And with this month nearly closing, we seem to be having two months showing wicks to the downside rejecting lower price levels. To us a setup for taking a low-risk entry at the beginning of July. Given that present levels hold till the end of the second quarter.

If prices decline sharply before month’s end, all bets are off.

View single page >> |

Disclaimer: All published information represents the opinion and analysis of Mr Florian Grummes & his partners, based on data available to him, at the time of writing. Mr. Grummes’s ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.