Bitcoin - Wyckoff Chart Update

After 9 straight days* of positive price action, the longest continuous stretch of green days since the low of $3,195 in December 2018!, one can conclude that the Composite Man is in a hurry, so we need to re-calibrate the Wyckoff Chart to the new conditions.

Looking at the current position, BTC has rallied strongly to the critical level of $40.8k level, with just two brief corrections along the way. It is now pulling back toward the Last Point of Supply (LPS) before launching itself “across the creek” towards $46k in a Sign of Strength (SOS) and a period of consolidation to confirm $44k as a strong level of support.

At least that is the theory according to the Wyckoff Method. As such, I feel we have now transitioned from Phase C of the Accumulation to Phase D. As you can see, Phase B was extended with a period of redistribution, but volume has increased significantly since re-testing the $29k level underlining strong buying all through what has been the trading range since May 19.

This confirms that bags are now packed for the journey to the next Distribution phase, with a last stop for all the laggards to re-pack at the LPS.

* I note that the day is 15 minutes to closing and there is potential for the bar to close red, which would make it 8 straight days of green, and the longest run of green since June 26, 2019. Either way it looks like a doji inside bar and suggests a correction.

註釋

Didn't I say the Composite Man was in a hurry! Just to re-cap on what's going on:
1) Cup & Handle -> $48k
2) Inside Bar -> Bullish run
3) BTC has commenced its leap across the Wyckoff Creek

You draw your own conclusions.

註釋

Recalibrating for the past few days and we can see that the next moves need to propel BTC above $43k to confirm that Phase D of the Accumulation is drawing to a close.

註釋

With the "creek" being crossed in the past few hours, I am expecting a period of consolidation above the $43k level to complete Phase D, before the price continues its rapid appreciation in Phase E.

Here's a recalibrated chart to the current rally over $43k.

註釋

A definite SOS (Sign of Strength) after "jumping the creek" and now just tracking the price action as BTC backup (BU) to the creek and consolidates above the $43k resistance zone, offering the Last Point of Supply (LPS) as it wraps up Phase D. Then, off to the races!

I guess I will have to start tracking the next Distribution cycle soon. Let me know if you would like to see that overlay and I'll see what I can do.

註釋

4 days of consolidation above $43k. How much longer can it go on for I wonder. Will it keep in this range for another 2 days or perhaps longer? What do you think?

I notice some of the alts getting attention while BTC is consolidating.

註釋

This is probably the final update on this Accumulation pattern for when price break above $47k we are moving into Phase E and the Accumulation is complete. It is then time for some serious price appreciation.

Currently BTC is consolidating within the $45k to $47k range, but that can be expected to not last too much longer.