August 3 Chart of the Day - Bitcoin
Bitcoin (BTC) is one of the most requested charts we receive so today we'll take a look into where price could go on this chart.
First of all, we can see for the past few months that price has been consolidating and clinging to a major level of support/resistance just shy of $30,000 before deciding which direction to move in next.
Seems like everyone and their brother has an opinion on a direction but in many cases we see directional assessment statements based on "feelings" rather than price action technical analysis.
One thing for sure, historical price movements have been sudden and severe. Rising to all time highs of $69,335 in late 2021, then falling all the way down to the $15,000 area, and now doubling since late last year. We've heard the many fortunes made and lost with Bitcoin.
Is price resting before its next big move?
Maybe, but nobody knows for sure with any certainty. But we can determine levels of interest in both directions for traders and investors using 5 Free Price Action Tools native to every charting platform as seen in the weekly and daily charts below.
So will this chart see $35,000 or $25,000 next?
By the way, if you didn't already know, Grayscale Bitcoin Trust (GBTC) can provide similar exposure to this crypto currency at a fraction of the capital requirements.
Nobody knows for sure but using these 5 price action tools traders and investors can develop levels of interest in both directions.
- Support/Resistance
- Trend
- Fibonacci
- Supply/Demand Zones,
- Change Control Zones
Take a look at the charts and let us know what you think.
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