Bitcoin is most likely breaking out today. I want to have a look at the arguments of why Bitcoin could break out to the upside or to the downside. We are seeing a huge divergence in the price of Bitcoin. And at the end of this video, I want to show you a fun fact about the correlation of Bitcoin with the presidential elections. Well, guys, all about that in today’s video. With that being said, my name is good. This is the blockchain today D channel where you subscribe for daily crypto videos. Right now, let’s jump into the content and let’s start off with having a look at the daily time frame. And Bitcoin right now is getting squeezed into this formation is a sending triangle and we most likely are going to see a breakout either today or tomorrow. But I think the chance is quite likely that we are going to see a breakout today because usually we quite often see break out on Sunday. And I don’t know if there’s a clear reason for that or that it’s due to the low volume that we are seeing on the weekends. But I noticed that on Sunday we quite often are seeing breakouts in the price of bitcoin. And now comes the big question, of course, where is Bitcoin going to break out, too? Are we going to break out to the upside or to the downside? Well, generally speaking, guys, you can always make arguments for both sides. Right. But technically speaking, I think that the indicators they are right now pointing into the direction that bitcoin is going to break out to the downside. But on the other hand, everything is looking too obvious right now. And that can be tricky sometimes as well because the majority in the market is often wrong. And right now the sentiment is quite bearish. A lot of people expecting Bitcoin to break out to the downside. And therefore, I think the majority right now is bearish, which could actually make the argument for a bullish breakout. But guys, let’s dive into the technology so we are right on a daily timeframe. First of all, I want to show you really quick the significance of the resistance, what bitcoin is testing right now. Well, first of all, it is testing this sixty-one point eight Fibonacci retracement level, and that is when a measure from the previous high to this bottom and normally this is a retracement level. So if we see a huge drop, the bitcoin price can be traced to the sixty one point eighty. And from there, continue to trend that. And yet that the price was walking. And right now we were in a downtrend. So that would make sense that the bitcoin price would reverse at the sixty one point eighty percent and continue this downtrend. But it also means that if bitcoin were to break above the sixty one point eighty percent, then that it most likely isn’t a corrective wave and that we can expect bitcoin to fish at higher levels. But yet, as you can see, we got rejected right there and it looks like bitcoin. Might we first? From the second reason why the two sisters above us are such a significant resistance is if we have a look at the historical price action of bitcoin, we can see that in a sending triangle. We have tested this resistance multiple times. But if we go back and we go back to that in first head and shoulders that we have seen in the past, then at this level this show acted as a support. So if we have a look at historical price action, this is as well a significant level. Another reason is the 200 moving average only for our time frame. And right now, this moving average is acting as resistance. It is this yellow line that because she’d be charged right now. And if we are getting a decisive break above this level and can get supported from the two in a moving average on the four-hour time frame, then that is definitely looking bullish for bitcoin. But right now it is definitely acting as some selling price to some resistance. And guys, let’s first talk about the bearish case in Bitcoin and why Bitcoin might break to the downside of this. A sending triangle formation. Boga is one of the most important reasons why I think that Bitcoin might break out to the downside if 2 to minus capitulation. We are approaching the half thing. This is an event that brings tension into space because de-miners they will earn 50 percent of their income with the same amount of electricity costs and eventually bitcoin will be Moche cost them before the whole thing. But it always takes quite some time till we are seeing that SkyCity being really expressed in the price. So in the short term for T minus, it is like a wipe out a lot of minuses. They have to they are forced to stop their operation because it is not profitable anymore at that specific moment. Well, we are right now as well in this economical crisis, which is also not. Very helping. So that means that we are getting a lot of shell pressure from the miners. And this is also quite normal. And we have seen it in the previous half-inch as well that we’re seeing right before the whole thing, the bitcoin price starting to drop. And at the moment of the whole thing, we saw a not a drop. And it makes sense as well. And normally we can use this indicator. And. Yeah. Yes. Yesterday, you guys asked me to show you this indicator show. Here you can see it. This is the hash ribbon indicator. And the hash ribbon indicates that a great track record when we are seeing an inversion of the hash ribbons, that’s usually we Shilts in a drop in the bitcoin price. But eventually, Wendy Hesh Ribbon is going back to normal levels again. Then we are getting a buy signal and it is historical there were great times to buy bitcoin. And guys, one moment any price history of bitcoin that wasn’t a bear market. Two thousand eight. We have seen as well an inversion in the hash Rivard. And that was right before we have seen this huge drop this yet purely capitulation drop this last drop. And then afterwards we have formed a bottom. But afterwards, the hash rarebit gave us a buy signal at yet at proximity to the bottom. And that’s the hash ribbon is well known for this, that it gives us buy signals near a local bottom. And this happened at the previous halfling right before it halfling. We saw a drop in Bitcoin’s price, and right after the halfling, we saw a not a drop in the hash ribbon as well. Furter. So that actually signs that this was minus capitulation. And yet like I said, guys, that is also quite logical because if you are a profitable mining operation and then suddenly from day one today 2x you are not profitable anymore due to the earnings are getting cut in half, that a lot of mining operations are forced to close to operations and sell that bitcoin, which shows a short term selling pressure but eventually will be shilled in a more stable bitcoin with a more bullish effect because they are less ineffective miners and therefore they are also less mindless that are really obligated to sell their bitcoin. So right now we are seeing a version of that ribbon which could indicate that we are going to see minus capitulation. That also makes sense due to the Halfling that is coming up. But it also means that when we are getting a buy signal after Beheshti given that that is a very bullish sign. But yeah, we haven’t seen a by signal right now yet. So concerning the hesh ribbon, we should be bearish and then not a perish indicator that I’m seeing in the chart is a huge bearish divergence in the volume. The price is going up, but the volume is going down and that to say bearish divergence, which tells us that the uptrend of bitcoin might not be debt strong and that this uptrend is not carrying that much confidence. Another reason why bitcoin might be bearish is due to the Wycoff distribution schematic. And right here we can see that the bitcoin price actually following this distribution schematic quite well. And if you want to know more about the Wycoff method, you can watch yesterday’s video. I’m talking more about that. But basically be Wycoff methods is saying that Bitcoin will revisit the lower 4K levels. And if we Schuman only one-hour time frame, we can find a Barasch DI furniture. So that could be the first sign that the price of bitcoin is weakening and that there is some bearish momentum stepping in any price of bitcoin. So, guys, these are the arguments for a bearish scenario. If you have different arguments, then let me know in a comment section down below then, guys. The first bullish argument is the Pétain and Ascending Triangle is generally a bullish better’n, and I think it is less bullish if we are entering from a downward trend because every Pétain can function as a continuation pattern so that we continue this downward trend because we are entering the pattern from a downward trend. But yet the pattern in cells, generally a setting triangle is a bullish pattern. And guys, the second argument I want to make for the bullish scenario is the sentiment. The sentiment right now is ultra bearish. If we have a look at the crypto fear and greed index, it is right now as well at extreme fear. And normally this is a good counter indicator that when the majority is an extreme fear, then the chances are more likely the prices going up. Shame comes for the other way around. If the majority is very bullish and greedy, then that might be short any price coming down because the majority in the markets are often wrong. And guys, this might be not that significant, but I wanted to bring it up anyway. The moment we have seen this huge drop in 2018 due to this minus capital. Patients, we as well-formed a sending triangle the moment we have touched the bottom right here. And a lot of volumes came in and that is something similar that we are seeing right now wide. We have seen a huge drop and that drop was definitely some form of capitulation. We touched the bottom. A lot of full you come in at that bottom. And afterwards, we were forming a sending triangle. So I’m not the biggest fan of fractals. And I’m not saying that this will play out, but I just wanted to bring that operative the last time we have visited the bottom of this bigger wedge. And a lot of Foljambe came in, which showed us that that was the bottom. We also formed a sending triangle and eventually broke out to the upside. And guys, I don’t know if you still remember it, but a lot of people were bearish at this time period. So guys that were the bullish arguments. If you have any more bullish arguments, then let me know in the comments section down below. But this guy is the nice thing about trading Bitcoin is that it doesn’t matter if we are breaking right now to the off-site or to the downside at the moment. I am not in a trade. I am waiting on the sidelines till bitcoin makes a decision either today or tomorrow. And if he would break this upward support for it here, then I think this would be a great moment to short bitcoin. If we are getting confirmation in a for humanity for you must backing up the move as well. Because if we break this uptrend, I think we can expect some definitely some further drop in the price of bitcoin. And then the first wheels support level will be right here at approximately eighty-five point nine K. But eventually that can we show that we are following this Wycoff method. Right. And that we eventually will retest this bottom again, the bottom of the bigger retch. And if bitcoin would break out to the upside and retest industry shifts and shown as a support, then I think we can expect the price of bitcoin to head towards the resistance of the bigger ratch. So this would definitely be a bullish scenario. And if bitcoin breaks out to the upside, then I’m planning to catch it at the retest of this resistance into support. And I’m trying to open a long hair so I can watch this for you. I can get some confirmations before I’m entering this trait. But like I said, guys, I think the chances are more likely that Bitcoin is going to break out to the downside rather than to the upside. But I’m not entering in a position before Bitcoin is breaking out. And if you want to trade bitcoin, you can do that on the fabric’s exchange or on the buy beat exchange. And if you want to sign up, I have my affiliate links down in the description or endpoint comment and let me Fenwick’s exchange. You get an additional ninety-two U.S. dollar bonus if you deposit Xeloda to bitcoin using my affiliate link and on by bet you can get a bonus up to 90 US dollar. But in the puzzlement, requirements are a little bit higher than that. Formal fee makes you guys. What do you think? Is Bitcoin going to break out today and do you think it’s going to break out to the upside or to the downside? Let me know in the comments section down below. Guys, I wanted to share a funny note with you, and that is that the Halfling defence at the moment of the elections and how we know Satoshi Nakamoto is that he thought of everything. Right. He designed the Bitcoin protocol so perfectly that he literally thought of everything concerning inflation, but also concerning the improvement of technology, the safety of the network and so on. And guys, what do you think? Satoshi Nakamoto created the half-inch on purpose in the period of the election, or did it happen by chance? And what is the advantage that Bitcoin can get if the Halfling is coinciding with the elections? Let me know what you think. Any compensation down below. But okay, guys, that was it for today’s video. I hope you enjoyed it. If so, please leave a thumbs up. And if you want to learn how to trade, you can watch one of my tutorials and be careful, Wendy. Volatility is stepping back in the price of bitcoin. Use low leverage and use safe risk management. OK, guys, I see you último. And don’t forget to huddle.