Do you believe in technical analysis? Here are some bitcoin evidence
I believe that there is a trend and momentum for everything that revolves around us. Technical analysis captures the essence of that in the stock/bitcoin market. I understand some are skeptical about technical analysis for trading especially some hard to understand TA stuff like Elliott wave, Gann's theory and Fib numbers.
Today, I present some strong evidence that it does work and its projections are pretty accurate. Lets take a look at the chart below. Green boxes are rallies and red boxes are pullbacks. Notice the height of each rally and pullback is EXACTLY the same thing. In addition, the price that we are trading now is hitting the exact resistance line I drew 2 days ago. Could it be a coincidence? Yes. If it happens repeatedly, it’s a pattern that has predictive power.
The pattern below is called a measured move or AB=CD. In other words, if market maintains its current momentum, the price would extend further out into the future.