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Thursday, August 27, 2020

Incoming Drop for Total Crypto Market

Incoming Drop for Total Crypto Market

1. Draw best representative overall trend line (green)
2. Draw fibonacci retracement from local minimum to local maximum following the 2018 peak
-> I consider this local minimum as the start of the "new era" of crypto as during this time, many financial institutions have started to on-board to crypto
-> There is considerably more crypto awareness both in the political sphere and the mainstream after this point
3. Using the same local mins and max points from #2, draw fibonacci time zones
4. Turn on RSI , which shows the strength of market according to historical price
5. Turn on volume indicators, which shows strength of market according to historical volume

- Downward volume pressure seems poised to overcome upward volume pressure.
- RSI shows bearish divergence.
- Fib time frame indicates a significant price movement.
- Resistance from June 2019 peak has been hit.

- Price will likely move downwards in the coming days, but will work to create a higher low, either at the .382 or the .236 fibonacci support.
- Crypto is heading up in the long term, however, this movement upwards will likely look different than the run-up of 2017-2018 as institutional money plays a larger role in this new era.

from Trading Ideas
via gqrds

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