#Bitcoin has tried to fill a #gap between $24k to $26k not yet completed.
#educational HOW GAP WORKS Thread (#1/7)
Gaps are areas on a chart where the price moves sharply up or down, with no trading in between. As a result, the chart shows a gap (jump) in price.
#btc #Crypto
#educational HOW GAP WORKS Thread (#1/7)
Gaps are areas on a chart where the price moves sharply up or down, with no trading in between. As a result, the chart shows a gap (jump) in price.
#btc #Crypto
#2/7
"Gaps occur because of underlying fundamental or technical factors. Ex., if a company's earnings are much higher than expected, the company's stock may gap up the next day. Meaning, price opened higher than it closed the day before, thereby leaving a gap" - Investopedia
"Gaps occur because of underlying fundamental or technical factors. Ex., if a company's earnings are much higher than expected, the company's stock may gap up the next day. Meaning, price opened higher than it closed the day before, thereby leaving a gap" - Investopedia
#3/7
Gaps are most frequent in Futures, for #bitcoin, you can find it in #Tradingview (BTC1!) CME Futures.
When someone says a gap has been filled, that means price has moved back to the original pre-gap level. These fills are quite common and occur because of:
Gaps are most frequent in Futures, for #bitcoin, you can find it in #Tradingview (BTC1!) CME Futures.
When someone says a gap has been filled, that means price has moved back to the original pre-gap level. These fills are quite common and occur because of:
#4/7
Price overly optimistic or pessimistic, therefore inviting a correction, technical resistance and price action / pattern.
Gaps Classification:
- Exhaustion: occur near the end of a price pattern & signal a final attempt to hit new highs/lows
Price overly optimistic or pessimistic, therefore inviting a correction, technical resistance and price action / pattern.
Gaps Classification:
- Exhaustion: occur near the end of a price pattern & signal a final attempt to hit new highs/lows
#5/7
- Breakaway gaps: occur at the end of a price pattern and signal the beginning of a new trend
- Continuation: also known as runaway gaps, occur in the middle of a price pattern & signal a rush of buyers or sellers who share a common belief in the underlying price direction
- Breakaway gaps: occur at the end of a price pattern and signal the beginning of a new trend
- Continuation: also known as runaway gaps, occur in the middle of a price pattern & signal a rush of buyers or sellers who share a common belief in the underlying price direction
#6/7
Most likely to be filled gaps:
Exhaustion gaps are typically the most likely to be filled because they signal the end of a price trend, while continuation and breakaway gaps are significantly less likely to be filled since they are used to confirm the direction of the trend
Most likely to be filled gaps:
Exhaustion gaps are typically the most likely to be filled because they signal the end of a price trend, while continuation and breakaway gaps are significantly less likely to be filled since they are used to confirm the direction of the trend
#7/7
You now know the basics in what it comes to CME gaps.
Final thoughts, although $btc is trying to fill a runaway gap ($24k-$26k), there's also a breakaway gap at $19k that imo, would make more sense to be filled.
Like & share if you feel like 🙏
#bitcoin #crypto #cripto
You now know the basics in what it comes to CME gaps.
Final thoughts, although $btc is trying to fill a runaway gap ($24k-$26k), there's also a breakaway gap at $19k that imo, would make more sense to be filled.
Like & share if you feel like 🙏
#bitcoin #crypto #cripto
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