Bitcoin Weekend Forecast: Cloudy With A Chance Of Reversal
January 14 2022 - 11:20AM
NEWSBTC
Bitcoin price is at a pivotal zone, nearing a potential point of no
return for bulls. However, the weekend forecast could suggest
sunnier skies are in the future, so long as BTCUSD holds above the
weekly Ichimoku cloud. Here is a closer look at BTCUSD weekly
timeframes “at a glance” using the Ichimoku Kinko Hyo. Bitcoin
price is holding above the cloud | Source: BTCUSD on
TradingView.com Weekly Bitcoin Price Action At A Glance Using
Ichimoku Using nothing more than the naked Ichimoku chart above,
BTCUSD weekly has touched and found support at the cloud – also
called the Kumo. The blue conversion line is above the
maroon-colored base line, indicating the market is still bullish,
but consolidating. A bullish trending market would see Bitcoin
price trading above both lines. Touching the cloud itself isn’t
always significant. However, only weekly timeframes, retesting the
same cloud is what kickstarted the bull run. Flipping the Ichimoku
cloud started the bull run | Source: BTCUSD on TradingView.com
Losing the cloud would be substantial. It could mean the bull cycle
has finished, or that extended consolidation is ahead. The last
time the weekly cloud was lost was the Black Thursday collapse in
March 2020. The Ichimoku is among the few technical indicators that
focus on both time and price. Tapping the cloud means that it is
time to look for other signals for more confirmation. Three
potential supporting reversal signals can be found | Source: BTCUSD
on TradingView.com With more technical indicators turned on, things
get a lot more interesting. The TD Sequential market timing
indicator has triggered a perfected buy setup, just as Bitcoin
touches the cloud. Sunday night’s weekly close could very well
remain near current levels to end with a doji. How bulls react in
the following week would be telling. Bullish Take | The Hidden
Bitcoin Trend Line That Could Save The Bull Run A green up candle
to above $47K would break through a local downtrend line and put a
morning star Japanese candlestick pattern in play. It is worth
noting, however, that the last potential weekly morning star setup
failed. But such signals are only confirmed in hindsight. At the
same time, weekly Stochastic is exhibiting a bullish divergence. A
bullish crossover is also nearing while at a reading that
historically put in more significant bottoms than this. What To
Expect This Weekend Ahead of The BTCUSD Weekly Close A doji candle
signals indecision and come at the end of a trend, or at a pause
before continuation. The fear in the market has left bulls weak and
bull salivating, but neither have been able to make a major
difference in the last five days. The weekend forecast suggests
more of the same level, with bulls needing to defend $42,000 and
lower. Fear will likely keep bulls at bay until after the weekly
close, when confidence returns and there is possibility of a
morning star reversal. Bearish Take | Bitcoin Death Cross 2022:
What You Need To Know About The Deadly Signal If the doji candle
were to hint at continuation instead of reversal – the next logical
target would be the bottom of the Ichimoku cloud at around $37,000.
Danger of more downside than that still exists. Bitcoin price just
had a daily death cross which could have apocalyptic implications.
Losing the Ichimoku cloud completely might indicate that the bull
cycle has concluded for the time being. Reclaiming the cloud would
be the first sign the bull run is back on. Whatever you do, watch
the clouds closely over the weekend. .@elliottwaveintl has
graciously offered my followers FREE access (normally $99) to the
Dec video issue of Robert Prechter’s Elliott Wave Theorist. It
includes 28 charts referencing “A Stock Market Top For The Ages”.
Enter code “TONYBTC” for FREE access: https://t.co/Ke1bCmpzet
pic.twitter.com/tYMRvsotND — Tony "The Bull" Spilotro
(@tonyspilotroBTC) January 14, 2022 Follow @TonySpilotroBTC on
Twitter or join the TonyTradesBTC Telegram for exclusive daily
market insights and technical analysis education. Please note:
Content is educational and should not be considered
investment advice. Featured image from iStockPhoto, Charts from
TradingView.com
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