Bitcoin Forum

FYI

I was just having a look at the 4hr btc chart on bitcoinwisdom and noticed what could be a head and shoulders pattern forming. We would currently be on the right shoulder.

I fucking hope that it is not, as I want to see this baby continue its rise, however, with the massive rise we have had I think it is possible. If a text book head and shoulders does happen that would put the price back to around the 1300, seems unlikely.

Bitcoin has been so volatile and unpredictable in comparison to other investments - it's hard to read the current position. Historical boom and bust patterns means it is likely to come back down short term. Eventually the wave of hype in the current price might subside and people will want off the boat when the price starts sinking. It depends, if more governments start building a legal framework around bitcoin it could gain even more traction.

If this is a "head and shoulders" pattern and "the head" is 2600+ USD price, why would we be on the "right shoulder"?Right now the btc price is around 2555 USD.If the price drops to 1700 USD i would say that you are right ,but there`s no reason for such a price drop.
The btc growth is sustainable and not a result of hype.
Only some hardfork during the summer can cause cuch price fall.

I am not convinced that standard market evaluation and indicators are the way to predict bitcoin's price movement.
Spotting head and shoulders trend is actually helping to understand price movement and set your trading strategy, but:

- it will not work all the time.
- target profit might never be hit
- and last by t not least, this pattern is very subjective to spot, some traders can see it some not.

That is the case with bitcoin and other crypto currencies ,the standard chart reading and the indicators might not work with bitcoin since it is pretty difficult to predict exactly what is happening at a given time,the best practice would be to look at the buy and sell column to understand the trend and take your decision.  ;D

by looking at the chart (4hr, bitstamp) left shoulder peaked at 2760, head at 2980, and if we are actually on a H&S pattern the recent peak of roughly 2670 could be the right shoulder. Im not saying it is a H&S pattern, but, it has that look about it.

I hope it is not and I personally don't want it to drop below 1700 that's for sure. Just thought I'd point it out to people. Also looking at the 2 lows and drawing a line on them (which would represent the neckline), a substantial break of 2200 would confirm the pattern as H&S.


Agree with everything you say, just wanted to point it out.

After hearing your thoughts now I want to shampoo bitcoin from head up to the shoulder, just like all of the people are saying here that bitcoin is very unpredictable at times, I thought that we can surely reach the $3000 mark value, but I think many have been very doubtful right now to where the price of bitcoin will surely make because of the impending changes that may happen in August 1 many would just want to convert to other coins, if not sell bitcoin and convert it to Fiat, literally quitting bitcoin, many are at risk of their investment with the impending Forks that the Big blockers wants to implement.

I have been saying this for a few days now on a longer-term scale. Bitcoin has been very overvalued for a while now... it's price rose far more than has been warranted by news related to japan etc. I think this recent recovery from the dip below $2100 might be the right shoulder of a head and shoulders reversal.

Also the Goldman Sachs recently bearish report on bitcoin which will likely be a self-fulfilling prophecy.

There doesn't have to be a reason. Sometimes stop losses create uncontrollable selling which forces the price down. Because bitcoin is thinly traded, it just takes one big sale to trigger an avalanche.

Oh no no no

I hope I do not see this price of 1300 because I will be in damage if bitcoin falls below $1700