Two parallel logarithmic trends and one linear trend. I guess if Trend 3 holds, then Trend 2 also holds. So the question is whether or not we are looking at Trend 1. Trend 1 would put a buy target around $300, or possible higher depending on how long it takes to hit.
Bin the logarithmic trends and look horizontally across the chart. There you will find the support and resistance levels that Bitcoin has been consistently playing off.
We have had a $540 double bottom which relates to high volume corrections in Nov and early Dec. For the first time in a long time, we have had price surge from a bottom on very large volume which can only be seen as a bullish indicator, especially since the second $540 bottom was reached on relatively low volume compared with the mass sell-off that resulted in the previous one. Since then however, both the price level and the volume has sunk, and we are now trending in that $650 - $670 low volume 'nothing' range. How the charts develop from here over the next few bundles of 4 hour bars will be very telling. If it can get up above $700 and turn this level into support on high/increasing volume, then in theory, I would have to turn bullish......as I type this however, I have a strong feeling in my gut that only wise course at this point in time is to remain a bear.....but perhaps I am just over cautious.
If $540 support is broke. Next crucial support is at $380 which has been a ultra high volume rebound point for two very different but equally blistering crashes.
