On-demand TA: From bear flags to bullish divergences

And as a bonus, we included a trading opportunity we are getting ready to take on Bitcoin.

Last week, our Head of Analysis made $10K trading memecoins. Trading allows you to make money regardless of whether the market is moving up, down, or sideways. 

Join us live tomorrow at 6 pm UK time on Discord to learn exactly how he did it. 

We'll dive into:

• Crypto trading vs investing 
• How Tom, our Head of Analysis, made $10K trading memecoins last week 
• Breakdown of Tom's trading strategy 
• How you can get started with crypto trading
• How to leverage Cryptonary's analysis for trading success
• Q&A

You can join the livestream here.

Key questions 

• Is Bitcoin's bear flag setting up for a surprising reversal? Our analysis reveals a potential bullish divergence that could catch many traders off guard.
• Which altcoin darling has fallen from grace and might be heading for uncharted territory?
• Decisions, decisions, decisions. Is this coin trapped in a bearish pattern, or is a hidden opportunity lurking?
• Could a political wildcard send this memecoin soaring? Discover the key support and resistance levels as a major debate looms.

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results. "One Glance" by Cryptonary sometimes uses the RR trading tool to help you quickly understand our analysis. These are not signals, and they are not financial advice.

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BTC

• This analysis is in preparation for a potential trade on BTC.
• Following up on yesterday's analysis, we think the odds of the bear flag playing out are likely.
• But, Bitcoin has bounced slightly from oversold territory on the RSI, so if the bear flag bottom border is retested, this may be enough to bounce from there rather than see a full bear flag breakdown.
• If price does get a new low, but the RSI oscillator doesn't, then this would be a bullish divergence, which is supportive of pushing price higher.

Cryptonary's take: 

Essentially, the above is theoretical until price action gives us greater clarity. But if Bitcoin can come down back into the $58k—$59k area, that'll likely create a bullish divergence at the price lows. 

This is quite a bullish setup, mainly if Bitcoin can hold the bottom border of the bear flag. This is not a trade for today, most likely, but it is over the coming days. We have drawn a paintbrush of the potential Bitcoin price direction - pink squiggles.

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RUNE

• RUNE has been in a long-term downtrend since mid-March and recently broke below a key horizontal support of $4.78.
• RUNE has now formed a bear flag channel, which would have a bias to break to the downside.
• The target for the breakdown would be to test the bottom border of the flag at $3.85. If price breaks beneath the flag, then the target would be the horizontal support of $3.38.
• If RUNE were to break down, it might be able to hold at the higher level of $3.85 rather than fall all the way to $3.38. The reason for this potentially is that the RSI is in oversold territory on the Daily timeframe. At the same time, a new low ($3.85) would create a bullish divergence in oversold territory—a bullish formation.
• On the upside, RUNE has several resistances. First, it needs to get above the bear flag, and just beyond that is the $4.78 horizontal resistance.

Cryptonary's take 

Like many altcoins, RUNE has struggled for performance and now finds itself below some key levels with little momentum. In the short term, we expect more downside to $3.85, maybe even as low as $3.38. Over the long term, RUNE may perform well as we're in a bull market. However, other coins will likely outperform it, mainly the bluechip memes.

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ARB

• ARB has performed phenomenally poorly overall, and with VC token unlocks, it'll be difficult for ARB to see sustained upside momentum.
• ARB is in a longer-term downtrend, having also broken below some key supports at $1.05 and then again at $0.92.
• ARB is now at a last support of $0.78; if this breaks, then ARB is in price discovery to the downside.
• ARB was in oversold territory on the RSI, and price made a lower low while the oscillator made a higher low. This is a bullish divergence, potentially giving ARB a slight bounce. But we don't see this following through much more.

Cryptonary's take 

ARB is one of the coins we look at. We are pleased we pivoted away from VC-backed coins and into memes and some other plays for our altcoin picks. It's hard to see where the upside momentum can come from, and if we were still in ARB, we'd be selling it down and moving into other plays that have shown far more potential and outperformance. 

In the short term, we see more downside for ARB; in the medium term, we see prices remaining range-bound for ARB, so little to no significant upside is expected for this play.

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TREMP

• Of course, TREMP has the PolitiFi narrative, and with candidate debates right around the corner, it's obvious why TREMP has performed well.
• TREMP bounced perfectly from the horizontal support zone between $0.41 and $0.51. We bought between these levels in Discord, and now our average entries are $0.475.
• TREMP has now moved right up to the horizontal resistance of $0.90, which was previously horizontal support. Despite a debate tomorrow, this may prove a sticking point in the short-term for price to get above of.
• TREMP has broken out of its main downtrend line, fuelling its move substantially higher.

Cryptonary's take 

TREMP has had a really nice move up from the lows, having bounced from the horizontal supports. However, TREMP has now moved into the underside of the horizontal resistance, having gone straight up. This may cause TREMP to have an initial rejection from this level before it tries another move higher later, despite Trump debating tomorrow. At this price, we wouldn't be buyers of TREMP while it is right under a horizontal resistance. We would be buyers if it retested the lows.