Bitcoin Short Term Outlook as of Sep 14, 2018

Many readers are asking for short term analysis on Bitcoin.

Here is the continuous Bitcoin future daily chart.



1. Bitcoin experienced the classic 75% crash from its all time high near 20,000.

2. Since the spike low back in February it has tried hard to settle down but just like any other market, post crash price actions are usually more bearish.

3. The down channel (blue parallel lines) like price action was terminated with channel mid reversal (blue arrow) and false breakout against first quarter low.

4. Breakout of the channel was meant with a strong selloff back down to retest the channel top and the first quarter low (green arrow).

Short Term Outlook

a. A clean breakout above the resistance trend line (green line) will likely give a run to target around 10,000.

b. IF, BTC manages to stay above 2nd quarter high after #a happened, it will in turn create the potential of what is often called Adam and Eve bottom. Whether the pattern will work out is too early to even think about it since the breakout part has not even happened.

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Bitcoin Outlook July 26, 2018

I mentioned what I think about Bitcoin in the book when Bitcoin was still trading above $8000 at the end of May 2018. Here is an update of what happened so far and the outlook in the near future.


Those of you who have read the book would recognize this chart. It is Bitcoin weekly.

The zone for which Bitcoin has to move down to, as stated in the book, is somewhere near the 5300-5600 zone.

When Bitcoin tagged 5700 (green up arrow) and bounced by end of June, we have a weekly level FBO against the first quarter high.

This signal a run back up to the nearest resistance which is highlighted by the 2 up trendlines in red.

Until Bitcoin can trade above that and stay above $10,000, the risk of it moving lower again is still pretty high.

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