Yesterday I told you that the Bitcoin is close to it’s bottom, we saw another one small dump where I bought more Bitcoins and now I think that the market should grow.
I showed you different long signals such as divergences with MACD on the 1W and 1D, Elliott waves, but today I found the indicator which I forgot about. The green line on the chart is the opportunity indicator. It shows us the value of the Bitcoin as I understand according to mining and electricity cost and something else. The price touched it exactly at $20800 and bounced off it.
RSI is also at the all time low value. If we take a look at the chart, such values always were the bear market bottoms.
Moreover if we take a look at the logarithmic Fibonacci levels for last three cycles we can notice that the price have never felt below the 0.38 level. Today BTC reached exactly this level. There are too much different signals that the bottom is next to current prices. I don’t exclude that we will not see the price below $20k with some long squeezes, but no more. This is the bottom, I am sure! We have to see at least bounce from here. Such huge downside impulse is needed to be corrected. The large players think the same because today they significantly decreased their short positions, at the same time the long positions are still at the ATH.
I am not sure that the bear market ended, we have not seen the true capitulation yet, but during such panic people usually hope to regain their accounts with the short trades, but the market maker usually make a pump to liquidate them. Let’s see.