 So I've got good news and I've got bad news and we might as well get the bad news out of the way first. So the bad news is that we are still in this head and shoulders pattern here. Remember it is a reversal pattern that could potentially send us down crashing to about thirty five thousand dollars. We are also still in September, which is historically the most bearish month for Bitcoin. And of course, last but not least, Bitcoin is still banned in China. In case you forgot. Now, onto the good news. The good news is prices have held above forty two thousand dollars. Guys, you know, that is a crucial crucial level that we've been speaking about for probably the last three months or so. In other good news, we still have this bullish golden cross that happened here a week ago in traditional markets. That is a buy signal in Bitcoin in the crypto markets. It's kind of a 50 50 shot. Either way, it is a bullish signal. And last but not least, September is almost over, guys. October, November and December are historically the most bullish months for Bitcoin, as you guys can see here. So let's not waste any more time and dive in to today's analysis. Hey, what's up? Jay here and welcome to Bitcoin daily, bringing you guys the best tips, tutorials and ideas to help you guys become profitable and successful investors. The goal of this channel is to empower you, the community with the knowledge and resources to get your wealth up to that next level. So if you guys are new here, don't forget to subscribe and turn on the notifications to be part of that notegang. And if you guys enjoy this video, don't forget to smash that like button. Guys, it helps us a ton. And of course, throughout the whole video, if you ever have any questions, drop it in the comments and we will try to get back to you guys. So let's go ahead and jump into the video. So first up, guys, we are almost done with September, which is historically, as you guys can see here, the most bearish month in Bitcoin. And next we got up October, November and December. You can see that October and November are probably the most bullish months for Bitcoin with December not being as bullish, but still a pretty bullish month. It's kind of a 5050 shot here in December, but we're definitely looking forward to October and November. October starts this weekend. So that will be started on Friday. And let's see what happens, guys. Alright, guys. So first off, you already know that on this chart, we spoke about on Friday's video about this head and shoulders pattern. Now, what, how does a head and shoulders pattern work? What does it mean? A head and shoulders pattern on the chart is a reversal signal from where the price is currently going. So if we kind of zoom out a bit and see where the price has been going, since it started this move up, you can see that the trend is to the upside. So what a head and shoulders pattern would signal if it played out is a change in trend. So because the trend is going up, this would cause a change in trend to the bottom side. Now, usually when there is a drop from the head and shoulders, the way that it is measured is from the top of the pattern to the neckline. So the neckline is where there's some support. So you see here, there's support here, and then you see over here, we had some support there. So that is the neckline. So typically, when this neckline is broken, like it did right here, we would drop basically this amount right here from the top to the bottom. Now, the neckline did break. However, we have not seen that drop. So we saw a drop. You guys can see here, we did get a drop. We went as low as $39,500. However, that is not what the drop would be if this played out correctly like it usually does. So that drop is estimated to be around that $35,000 level, if it were to happen. Now, how do we invalidate this head and shoulders pattern? Well, we can break the first step is breaking back above the neckline, right? The neckline is right around that $44,000 area. So you can see here, we've tried to break above it and we've got sent right back down because there's also a resistance at $45,000. So we need to break above this neckline. We have to stay above this neckline. And then we also need to break above this descending resistance line here, which is currently at around $46,000. You know, as the days go, it will be lower and lower. But currently, it's sitting at $46,000. So that break would have to be here. Now, there is a lot of resistance there as well. As you guys can see, we have the two moving averages right in that area. We have the 200 day and the 50 day, both in that area. So there will be a lot of resistance there. So we have the $45,000 resistance. We have this descending resistance, this descending line resistance. We have the moving averages as resistance as well. Right now, we have the neckline here as resistance at $44,000. So between $44,000 to $46,000, we're going to be facing a lot of resistance. It's basically a war. It's an all out war going on right now at those levels. The important level here, the important bottom level here support for us to hold here is $42,000. So we need $42,000 to hold. It is a previous all time high. It is a Fibonacci retracement level as well. It has been a very strong support. So it is a very strong level here. We need that to hold. As long as that holds, we should be still continue to fight up until we can break above all this resistance here. However, because there's so much resistance, it could continue to push us down, down, down. And then we could eventually see a drop below $42,000. If there is a lot more supply as far as selling, then the demand as far as buying. So if we get more, eventually we get more sellers and buyers, we could lose that $42,000 support and fall down as low as around $35,000. The issue with that, the reason I don't want to see that is because if we get back down here, we're going to be stuck back in this range, right? And you saw last time we broke below this, we were stuck in the range. So we're stuck from May 19th all the way to about June 21st. So we're stuck in that range for a month before continuing down and then getting stuck in this range down here. And we don't want to be stuck in that range because if we lose this range and we fall into this range, there is potential scenario we could fall down to this range. And that would be setting new lows for the year. And that would probably put us definitely in a bear market at that point. Why am I optimistic? Because like I told you guys before in the beginning of the video, October and November are historically very bullish months for Bitcoin, especially when September has been a bearish month. You see here bearish, bearish. You guys can see hopefully we also get a green here. We've had it the past two years. We've had green months here. You can see in 2019 Bitcoin went up about 10%. And then last year Bitcoin went up about 27%. And of course last year Bitcoin went up 42% in November and what? Like 45% in December. So it would be beautiful if we could get three green months just like this. If not, I mean it's fine. You can see that kind of this year we're pretty much copying last year since July. July in 2020 and this year we're green. August in 2020 and this year we're green. September in 2020 and this year we're red. Hopefully we get three green months here and we just copy exactly how last year ended. So if we do break above all these resistance levels, I definitely see a retest of $48,000 and $50,000. Those are going to be the two major levels there. And beyond that, if we can finally break above 50 and 52, we could be retesting these highs over here. And that's kind of what I'm looking for here. I'm looking for a break back up above these levels, a break above 50 so that we can get back over here and retest these highs. I think if we do that in October and November, then we can potentially see some new all-time highs by the end of the year guys. As far as Ethereum and everything else, you can see that it's pretty much just following Bitcoin. There's not really much else to look at here because it's just following Bitcoin. So there's no reason really to get into any deep analysis on these other out coins right now, even Ethereum, just because at this point they're going to be following in Bitcoin's footsteps. So until something changes with that, we're not going to do any deep analysis on it. You can see the patterns playing out basically the same way as Bitcoin right now. We have the same head and shoulders pattern. We have the same descending resistance here. We've had the golden cross already here. We're sitting at a strong support, which is $3,000, etc., etc., guys. So if we get back above $50,000 for Bitcoin, then you can definitely expect Ethereum going back to $4,000 and beyond and definitely setting up new all-time highs in the fourth quarter. That's kind of what we're watching. And our game plan will obviously change depending what Bitcoin does because depending what Bitcoin does, the entire market will follow in its footsteps. All right, guys. So hopefully you've been enjoying this video so far. Next, we're going to get into some of the trade setups that we will be watching during this week. So let's go ahead and jump into that. But before we do that, don't forget to smash that like button on this video, guys. If you guys are new to the channel, also subscribe and turn on the notifications. All right, guys. So let's go ahead and jump into these trade setups. All right. So on Friday, we told you guys that the levels that we were playing was $42,000 for those bounce back entries. And if you guys entered that any time between Friday and yesterday, really, you see that it went to a high of around $44,378, guys. So that would have been around a five and a half percent move up. If you use 10x leverage like we did, that would have been around a 56% profit on that trade. So if you got into that, congrats. Now today, basically, we're in the same area. So we're going to be looking for the same thing. The first trade and main trade that we'll probably be watching this week is any dips below 42 and pops back up. You'll notice that every time it's dipped below it and then popped back up, it's gone up to about $43,000, $44,000. So that's a pretty easy bounce back entry there. And we're just going to go, we're going to continue using that. Remember, we're only risking about 1% on these trades because we don't want to risk too much right now because of their current market structure. We are consistently using these trades, guys, and taking profits. We're being extremely aggressive with our profit taking to make sure that we're just grabbing profits when they're there and entering back into the trade when it comes back down. Now, beyond that, the next thing that we're watching if we get a uptick here in Bitcoin is entries above $45,000. Now, we're only risking 1% on this as well because, like we said, we have so much resistance here in that area between $44,000 all the way up to $46,000. We have so much resistance there. The next entry that we'll be looking at is above $48,000. We'll be willing to risk around 2% there. Now, be aware that there has been a lot of fakeouts here in the last week or two weeks ago when we saw those levels. So do be aware of that. And then beyond $50,000 will be our next entry if it were to keep going up this week. Now, if it goes down, now there's two ways you can play it. You could either just be waiting for the pops back up above $42,000 if you're bullish or if you're bearish, you can be playing the drops down. So for a short entry, you don't really want to play $42,000 at this point. As you guys can see, it keeps just popping right back up. So the level that you'll probably want to play is $40,000. If the prices fall below $40,000, then you can enter a short trade on basically a breakout trade to the downside with the targets of $38,000 and $35,000, one of the final targets there. In Ethereum, you can continue playing that $3,000 level. You can see that we've had some nice pop-ups to almost $3,200 over the weekend. So over the weekend, we gave you guys that $3,000 entry for Ethereum. And you can see that we popped up all the way to $3,165. So if you guys were able to enter that, that was about another 5% move. If you use around 10x leverage, that would have been another 50% profit on that trade. So if you entered it, congrats. If not, look for that same setup, guys. We're looking for the pop-ups above $3,000. You can see that we're at this level right now. So a pop-up above $3,000, we are looking to enter that trade. Now we're only risking 1% the same thing because there's just so much consolidation right now in that area. So you don't want to be risking too much. You'll end up getting stopped out. Now the next breakout entry will be above $3,200. Above $3,200 could lead us to around that $3,500 level. And that takes us to our next breakout entry, which is above $3,500. If we do see any lower levels this week, that next trade that we'll be looking for is at $2,800. And beyond that, we're looking for $2,500 if it were to get down that low. That is it for us today, guys. I hope you guys have enjoyed this video. If you did, smash that like button, guys. If you guys are new to the channel, don't forget to subscribe. Turn on the notification. And if you have any questions, drop it in the comments. Let us know. We will get back to you. If you don't have questions, drop a comment. Anyways, let us know you watched the video. Thank you, guys. We appreciate you guys so much who watched the video, liked the video, and drop the comment. We will see you on the next one, guys. As always, peace and love.