ONE44 Analytics where the analysis is concise and to the point
Our goal is to not only give you actionable information, but to help you understand why we think this is happening based on pure price analysis with Fibonacci retracements and Gann squares.
You can get all the rules and guidelines to the Fibonacci retracements on our website.
This is an ongoing series of updates for Bitcoin posted on Barchart.com and the ONE44 Analytics website on how to use the Fibonacci retracements.
On 7/8/21 we posted this...
In our last update Bitcoin had just hit 61.8% at 36,500 (C), using the ONE44 Fibonacci rules and guidelines we knew to look for 61.8% the other way. This is 31,900 (D). They are getting close to this target, but first we will look at what it has done since hitting 36,500.
The overnight low of 31,636 completed the 61.8% (D) target. Using the same 61.8% rule the next target becomes 61.8% the other way and this is 34,700 (E). As always we will watch all the retracements on this rally to see just how strong, or weak the market is regardless of the target. A rally that can only get to 38.2% (1) at 33,500 would be a negative sign and you should look for new lows and then 78.6% at 30,600 (2).
In the long term view they are still trading between two major retracements, on top it is 37,500 this is 23.6% back to the ATH and below is 28,300, this is 61.8% back of the ATH and the 2018 low. The long term swing point is 42,800.
The top on June 7th closed right at 23.6% back to the ATH. The break from this area took out 38.2% at 2140.00 turning the short term trend negative and the next rally after that stopped at 38.2% (1) confirming the down trend.
The overnight low of 1869.00 has hit 78.6% (2). There are two things about the 78.6% level, 1) is that this is the level that starts and ends a lot of bull runs in the bigger picture and 2) is the target after hitting 78.6% is 78.6% of where it just came from and this is 2290.00 (3). Any rally that can't get above 38.2% (4) keeps the trend negative and you can look for new lows.
Like Bitcoin, Ethereum is caught between two major retracements. Above is 2360.00, this is 23.6% back to the ATH and below is 1720.00, this is 61.8% of the ATH and the 2018 low. The long term swing point is 2740.00.