Bitcoin Rainbow Indicator drop on all time low

[Eternad]

This is the most bullish and many Bitcoin trader believer is relying on this chart for there personal belief. Now that its on verge of destroying the long time pattern, What so you think will gonna happened on Bitcoin price once this extreme bearish signal finally confirmed.

Even pandemic didn’t make it to destroy this pattern before. We might see another lows in case this pattern becomes invalid since many traders is looking on this and holding on for a long time as TA is a self fulfilling prophecy.

Keep safe and I hope it will bounce.

[1714636040]

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[Oshosondy]

I do not know much about the rainbow pattern, but I do know that it is good to DCA now which would be profitable in long term. This is not also about trading, it is about investing and about bitcoin price speculation, it would be good if you move this topic to speculation.

As for me, if bitcoin price will decrease further, it will not be significant before the next bull market, DCA now would be profitable.

[Eternad]

I do not know much about the rainbow pattern, but I do know that it is good to DCA now which would be profitable in long term. This is not also about trading, it is about investing and about bitcoin price speculation, it would be good if you move this topic to speculation.

As for me, if bitcoin price will decrease further, it will not be significant before the next bull market, DCA now would be profitable.

My initial plan is to put this on speculation but I want to receive a reply base on trading discussion aspect aside from speculation since this pattern is an indicator and I don’t have any idea about this same as you. 

I will start to DCA once the pattern is confirmed to be invalid to make sure I will get the best position I can get. 10K is the next major support while we are already halfway there. I already learned my lesson a lot when it comes to this waiting game on buying the dip. I will be patient this time.


I want to know how the heck this pattern can be view using tradingview. Is it possible or anyone has the customized code for this indicator?

[cozytrade]

I do not know much about the rainbow pattern, but I do know that it is good to DCA now which would be profitable in long term. This is not also about trading, it is about investing and about bitcoin price speculation, it would be good if you move this topic to speculation.

As for me, if bitcoin price will decrease further, it will not be significant before the next bull market, DCA now would be profitable.

My initial plan is to put this on speculation but I want to receive a reply base on trading discussion aspect aside from speculation since this pattern is an indicator and I don’t have any idea about this same as you. 

I will start to DCA once the pattern is confirmed to be invalid to make sure I will get the best position I can get. 10K is the next major support while we are already halfway there. I already learned my lesson a lot when it comes to this waiting game on buying the dip. I will be patient this time.


I want to know how the heck this pattern can be view using tradingview. Is it possible or anyone has the customized code for this indicator?

You are right about price expectations. Really appreciate your ability to be calm in this situation. BTC dump from 69k to 16k. Most investors will jump right into the exchange to buy more BTC at this price. This price of BTC is too attractive to resist and if you really think it's going to touch 10k then still you should start DCA right now. Who knows may be you will not be able to buy at that dip when it comes.

[elda34b]

I don't think there is a plugin for this on TradingView, maybe you need to order a custom one (at least the last time I checked it). As you said, it can be classified as a self-fulfilling prophecy so it can be unreliable since it depends on the averages of the past prices. Still a good thing to use if you believe in BTC though, as long as you don't bet everything on it.

[Ararbermas]

Base on the image you provided it seems not really good and a sign that soon or later we will see a new correction in bitcoin graph.. But do you really believe in that indicator? I think you should make a technical analysis using other indicators wherein those popular so that you can convince us that its possible to happen and very accurate.

[imamusma]

As for me, if bitcoin price will decrease further, it will not be significant before the next bull market, DCA now would be profitable.

I agree DCA will benefit if the bitcoin price drops again during a bearish period. DCA will allow buyers to earn more bitcoin if the price drops lower, but I would not fully believe that bitcoin will hit another low around $10K. We should expect the market to recover for some time to come despite the belief that there will be another dip next year.

That rainbow chart has been broken, and I can't really tell what will happen next. The price is feared to go down, but for whatever it is, I think now is the time to invest. DCA will be important if people believe that prices will down further, but it can't hurt to invest everything now.

[carlfebz2]

Keep safe and I hope it will bounce.

If we do really tend to look at and analyze that Bitcoin rainbow indicator then it didnt really been able to have a breakout eversince but the recent one is really going off into the line which is something

that we cant really be able to determine whether it could hold or would be totally breaking that point!. There's no way that someone could make out some conclusion but i cant really blame out into those people

who do really believe that this is already the bottom but its not 100% precise and dont make yourself too optimistic but considering about entry or buyback
then the current price isnt really a bad number for you to get in.

[JeromeTash]

Well, there is always a first time for everything. For example, they said Bitcoin had never gone below the previous year's all-time high until it did smash past 20K in May this year during the LUNA crash. Personally, I have never trusted the Rainbow indicator. I mean, someone can draw it from many different angles and curvatures to fit the narrative of the Bitcoin price trend over time.

[TimeTeller]

Well, there is always a first time for everything. For example, they said Bitcoin had never gone below the previous year's all-time high until it did smash past 20K in May this year during the LUNA crash. Personally, I have never trusted the Rainbow indicator. I mean, someone can draw it from many different angles and curvatures to fit the narrative of the Bitcoin price trend over time.

That is very correct, anyone can make a different rainbow indicator and so the angles or curvatures may vary from one person to another.
As this market is still unpredictable despite of over a decade of existence, we can't tell what will happen next.
This rainbow indicator for me is also very subjective, we can't treat it as the ultimate indicator per se in deducing some conclusions.
Consider other indicators as well in forming some conclusions. Anyway, these conclusions are just merely conclusions, it may or may not happen in the real scenario.

[jossiel]

It's just another analysis that has been broken and that's okay. In most of them, there's no perfect analysis and indicator and just as this indicator shows that it has been broken.

The others have also shown the same thing.

This is the nature and beauty of bitcoin, no one can ever predict perfectly what will happen in the future. And that's why if people are telling that it will go to zero, believe them not and just think of the unexpected price to rise soon.

[OcTradism]

It's just another analysis that has been broken and that's okay. In most of them, there's no perfect analysis and indicator and just as this indicator shows that it has been broken.

If Bitcoin stays here, its network operates well, healthy and decentralized, you don't need any model to invest in Bitcoin.

What you actually need is your belief in Bitcoin and in order to believe in something, you must have knowledge, at basics at least. You don't have to be a Bitcoin programmers, an outstanding technical analyst to believe in Bitcoin. By reading more about global economic problems especially inflation created by governments, and reading Bitcoin's Whitepaper and its Controlled supply, your belief should be enough to start.

If you are still wondering about Bitcoin and have yet believed in it, read The bullish case for Bitcoin

[Fatunad]

It's just another analysis that has been broken and that's okay. In most of them, there's no perfect analysis and indicator and just as this indicator shows that it has been broken.

The others have also shown the same thing.

This is the nature and beauty of bitcoin, no one can ever predict perfectly what will happen in the future. And that's why if people are telling that it will go to zero, believe them not and just think of the unexpected price to rise soon.

You should really make yourself get used to into different approach and speculations that would be made up into this market which you should prepare for possible break outs of those solid resistances and supports.
Im not saying that it's bad to stick into one analysis but its better to be that versatile on other probabilities which could really possibly happen.Cant really blame for others to stick out with that
Bitcoin rainbow pattern which is indeed you could really say that it do really shows that there's really a cycle on every period which we do really presume out that it would really be continuing
on such trend but no one really knows if it would be following or happening or not.

[Eternad]

It's just another analysis that has been broken and that's okay. In most of them, there's no perfect analysis and indicator and just as this indicator shows that it has been broken.

The others have also shown the same thing.

This is the nature and beauty of bitcoin, no one can ever predict perfectly what will happen in the future. And that's why if people are telling that it will go to zero, believe them not and just think of the unexpected price to rise soon.

I agree that this just another analysis but the only difference was it’s accurate for a long time since Bitcoin exist which means this is not the typical analysis that we see on our social media account but rather the interpretation of the bitcoin price history for long time. I’m not a believer of this chart too but since I always seeing this picture on every Bitcoin post on my wall, I start to believe that many traders is checking on it as basis for the Bitcoin future movement.

Breaking the pattern after many years of being accurate is really alarming especially on the current times when the market is experiencing uncertainty due to the recent shit event. I will view this as warning but not a financial advice. It’s still good that we do safety precautions while we still have time.

[bitcoindata21]

Please dont use the rainbow chart, it is the perfect example of curve fitting. There are better technical analysis and onchain tools to pick tops/bottoms

[pawanjain]

I saw this rainbow indicator chart yesterday on some platform. This is the first time I have come across this.
To be honest, I don't rely much on this and think that BTC has a long way to go.
Even if the price of BTC has declined a lot, it only means that we are getting near to bottom.
With every dip the chances of bull run increases which is why we should buy more and DCA in every dip.

[joniboini]

I agree that this just another analysis but the only difference was it’s accurate for a long time since Bitcoin exist which means this is not the typical analysis that we see on our social media account but rather the interpretation of the bitcoin price history for long time.

I think there is also a case of criticism toward this indicator since it uses an old model and as mentioned by someone above, a curve-fitting method. I think someone also meme'd this to death saying the next rainbow is going to 0$, like what you've seen in everyday fud while we are in bear market. In fact, there has been a new rainbow chart released recently. Don't know how reliable this will be either, especially if the dev keeps changing it when the price movement changes.

[ShowOff]

I saw this rainbow indicator chart yesterday on some platform. This is the first time I have come across this.
To be honest, I don't rely much on this and think that BTC has a long way to go.
Even if the price of BTC has declined a lot, it only means that we are getting near to bottom.
With every dip the chances of bull run increases which is why we should buy more and DCA in every dip.

I don't know if the rainbow chart will always be reliable for investors in the long term or not but now it seems to have been damaged due to the big drop in bitcoin price.

I know that before it was a good indicator to always believe that bitcoin will always follow the trend without going against the direction, but since this chart has been broken I believe there will be an assumption that no indicator is completely reliable even if it is- proven correct in the previous cycle. I believe it's volatile, so no one knows the future.

[Alisha-k]

I just kept starring at the rainbow to see if there was any TA i can relate with but everything turned out blank. All i can see are lower highs and higher lows showing strong bearish resistance for price to push up. But if the bears finally wins it will be another good time to buy and keep buying.  Nothing shocks anymore in crypto every move is an indication to buy

[goaldigger]

Please dont use the rainbow chart, it is the perfect example of curve fitting. There are better technical analysis and onchain tools to pick tops/bottoms

Looking for more details about this rainbow chart and it looks like unreliable for and not a good basis for your buying and selling point. If you will use this, better also to add other indicator to know if you are on the correct analysis, don’t just use one better to use many for your safe trading. The market is very risky, always choose the best indicators for your to lessen its risk.