BTCUSD Bullish Shark Harmonic Pattern + Bullish ABCD Pattern
With everyone in fear over what is happening in the markets and in the world in general, this is my reading of what is going on in the current crypto markets. Bitcoin dominance is significant as we've seen, so we will be marking up BTCUSD . I started out with quarter point theory marking all significant price points (10k,20k,30k, etc). Followed by marking past major points of rejection (where price pinned and went the opposite way or where price struggled multiple times). Then, I measured the most significant, recent move to the upside with the Fibonacci followed by an ABA Fibonacci expansion using the 1.618 & 2.27 extensions (which both were perfectly hit). Once the bear market/major market correction started, I used the Fibonacci to measure the most recent significant move to the downside followed by another ABA extension using the 1.618 & 2.27 going to the downside to give me my Price Rejection Zone (PRZ). It matched up beautifully with past zones of major resistance. Now that I had a good understanding of the markets price action based on measurements and zones of resistance, I started looking for patterns in the price action. I immediately saw the obvious bullish ABCD pattern within the major move to the downside. This was my first finding that made me believe we could see another major move to the upside. Next, I noticed a massive Bullish shark pattern that has been playing out for months. Price is sitting perfectly at the 1st Fibonacci's 88.6 which is exactly where the buy zone starts for the bullish shark pattern. We can see it drop a bit more to fully complete the shark pattern, but I do not see price going below 24000 or my 2.27 extension. Price could pin 24k however and if it does, price will rapidly explode upward. My long entry will be on the second leg aka the retest low near 27k. This is simply my reading of the market. In no way is this financial advice. You should come to your own conclusions when trading. Just food for thought. Share this with a friend that can benefit from this type of technical analysis . Beware of the hidden bearish divergence.
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