BTC Bearish Cross 1D TF
BTC and Bearish Cross and CME Gap $9600.
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BTC and Bearish Cross and CME Gap $9600.
I really like the resistance coming up here at 94.66 ish , most are bearish , "it's all going to crash". Maybe but I doubt it, inflation is here and Gold and Bitcoin /crypto especially should start doing great soon, we're almost a solid confluence of resistance.
Thanks for viewing,
Yeah yeah yeah, I'm really inviting some comments of FUD etc. Yes, the parallels between US tech in the stockmarket and the crypto market in late 2018 exist. Look I like Elon, and what he is doing. You can't question his results. I also like TESLA , but not at this price. There is no reasonable explanation for why TESLA should be so highly valued that it lost an equivalent value that amounts to 150% of European Banking combined market cap. Why it should be worth more than Toyota (yes I know TESLA does more than make cars).
So anyway, these are some likely short-term sources of support;
The 1:1 extension of the previous sharp correction at $289,
The 0.5 Fib retracement level at $286,
The 200 day MA which will be something around $250 in a couple of weeks,
What I have labelled the wave (4) low at $273,
Failing that the 0.61 Fib retracement level at $235.
The MACD moving averages and histogram are pointing down.
The 30 RSI level is quite a way below.
Will I be a buyer? Nope. I believe in what he is doing, but I stick to value investing principles i.e. The stocks I buy need to generate consistent cash returns and should also be undervalued. No matter how bullish you are on TESLA , a 650% rise in 12 months - without an associated growth in earnings points to people buying DREAMS. When there are no dividend returns underlying the massive gains, gains are more "fragile", peoples hands are weaker, and a lot of people will be shaken out or liquidated (2020 has seen a large inflow of inexperienced traders using leverage - I have definitely been burnt by leverage before).
My belief if that the global economy is entering into the deleveraging phase of a long-term debt cycle. This started to be evident in 2019, the current health crisis will likely deepen the recession. So... where will all the employed, cashed up, buyers of new cars come from? I am more bullish on used car auction houses etc because people need to seriously reduce expenses in the face of higher unemployment and a worsening real economy. Any bad news added on top will send the stock towards the low-end of the range... or even below. Who knows.
Protect those funds.
On the daily chart , we successfully played our Head & Shoulders pattern (Link: https://ift.tt/2AmNGVB ) and cashed in Take Profit 2. We moved our Stop Loss to Take Profit 1 so we don’t fall for a possible SFP on the daily/weekly (red arrow) We find support around 10300 and built a green daily candle yesterday. This can still continue down if we got rejected hard in the next hours/days but for now we just failed to break down.
A lot of bearish talk in crypto in the last days and also the CME Gap is again a topic. We can see this failing breaking down and just go up again. We can still form a lower high when we go up from here to the 11600 region before continue down.
Don't get trapped by CT .
We still have the CME gap open from 9655-9800 which everyone is talking about now. We have to be careful here. As we told many times, in this year the gaps can be a false signal. They get filled at some point but often this year we saw a wick just close to it and after that a push to the other direction (green arrow). On the red arrow, we can have something similar now. Don’t fall for the gap. They get filled at some point but this can take days/months.
Link:
I should really have entered this trade much earlier, as you can see my setup was in place for the right levels. But, I lack confidence as a trader, and while my analysis is good, I suck at timing entries and exits - and stops will often drain your capital in crypto.
I've decided with this resistance broken on volume , in a rather sluggish market, to get fully invested in $UNI now. V3 announcement is coming soon, and even if it ranges down to $3 or even $2 again, I think anything under $6 is underpriced for this one.
It's the BNB of the DeFi era and having bought BNB early on in it's first market cycle, and seen how far it's gotten since, do think this one will prove a winner eventually.