What It Means For The Dollar And Bitcoin

 What It Means For The Dollar And Bitcoin

The number 13 is steeped in superstition. It isn’t clear why the number has such significance, but even a prominent market timing technical indicator often gives buy or sell signals when an asset reaches a 13-count.

Coincidentally, the DXY Dollar Currency Index and Bitcoin are exhibiting opposing 13-counts albeit on different timeframes. In this article, we are examining the meaning behind the number 13, why it is both considered lucky and unlucky, and how it could be signaling a major trend reversal in crypto.

All About The (Un)Lucky Number 13

The number 13 is so superstitious, the date landing on a Friday has been a premise for an entire slasher series. The so-called lucky number is also a Fibonacci number, following 5 and 8. It is found all over religion. For example, in Judaism it is the age which a boy matures and becomes a Bar Mitzvah.

For as many examples that are out there suggesting the number is lucky, and equal amount of examples say otherwise. Most buildings in the United States skip over the 13th floor; the number was banned from use in the Indianapolis 500 from 1915 to 2002; Apollo 13 was among NASA’s most well known missions for its failure, to name a few.

Related Reading | Dollar Touches Trend Line That Brings The Best Bitcoin ROI

The number 13 also is used as a buy or sell signal as part of the TD Sequential indicator designed by Thomas Demark. Demark is considered a market timing guru, able to precisely pick out probable points of reversals, simply by watching the sequence of candle closes.

If a certain sequence is followed, a TD 9 buy or sell setup is triggered. If this signal fails, another countdown begins. After a countdown to 13, a powerful buy or sell setup is triggered. These setups aren’t a guarantee of a reversal, but when used in conjunction with other indicators, candlestick patterns, and more, can be an effective strategy.

A 13 appeared on the DXY weekly and BTCUSD daily. | Source: BTCUSD on TradingView.com

TD Countdown: Are Bitcoin And The Dollar Ready To Reverse Course?

A magical 13 count on the TD Sequential has appeared in both Bitcoin and the DXY Dollar Currency Index. With you now aware of how much power the number posses, there is potential for a trend change.

In the chart above, the DXY weekly 13 has triggered. The same chart shows the daily BTCUSD chart with Bitcoin on a 13-count as well.

Related Reading | How Dollar Parabola Breakdown Could Boost Bitcoin Price

With opposing reversal setups on the two different timeframes and two different assets, there is a slightly higher probability for a reversal than on any other day. The appearance of the 13 means that the conditions of the countdown sequence have been met.

A 13-count typically signals that a trend is exhausted, and ready to reverse. Bitcoin has suffered one of its worst strings of weekly losses since 2014. At the same time, the DXY weekly has gone parabolic. If it finally breaks down, it could be enough to bring crypto out of its bearish phase and back into bull territory.

Follow @TonySpilotroBTC on Twitter or join the TonyTradesBTC Telegram for exclusive daily market insights and technical analysis education. Please note: Content is educational and should not be considered investment advice.

Featured image from iStockPhoto, Charts from TradingView.com

Source link

Related post

Receive the latest news

Subscribe To Our Crypto Newsletter

Stay informed with our curated information and offers just for subscribers.