7.18 Bitcoin daily line encountered strong resistance! Don't miss the opportunity to pull back and get on the train!
We can observe the strong rise of Bitcoin from the daily Bollinger Bands. We can see that this wave directly rushed up from the lower rail of the Bollinger Bands to the upper rail of the Bollinger Bands. The current price has begun to encounter resistance at the upper rail of the Bollinger Bands. The daily line also closed with a negative line yesterday, and the price has not been able to continue to break through upward.
So since the price of Bitcoin has encountered resistance, we have to start considering its pullback. If the price is slowly oscillating and pulling back, then I think the price will slowly pull back to the middle rail of the Bollinger Bands. We found that the Bollinger Bands at this time are opening, and the middle rail of the Bollinger Bands is also turning upward. Then at some point, the price will just step back on the middle rail of the Bollinger Bands at the daily level. I think this is a very good position to do more again. Next, we can wait for such a situation to appear.
Then, from the perspective of the trend line, if the price has a very fast downward correction, what we mentioned above is a slow oscillation correction. If it is a fast downward correction, that is, a sharp drop, then it is very likely that the middle track of the Bollinger Band will be directly broken through and cannot support the price.
As shown in the figure, the middle track of the first circle of the Bollinger Band will fall to a deeper position if it falls back. We connect the two high points in front and then infer an upward channel. If there is a sharp drop and a rapid correction, the price will fall below this channel.
From the current forecast, the target of this decline may be 57,000, which is a relatively rising correction. We need to wait for this target position before we can go long again. So the current situation is to observe whether Bitcoin will have a correction next, and we need to observe whether it is a slow correction or a sharp and rapid correction.
