Steem, SBD, and BTC Update! :)

It has been a while since I have posted on steemit! I have been very busy with work and also actively trading options! If you are interested in trading options, I'd be happy to post a follow up on my options trading strategies! :)

In the past 10 days or so, Steem and SBD's have been moving in line with the broader cryptocurrency market. Everything dropped rapidly as BTC fell down to $6,000! Since then however, the market has gotten its footing and has begun to rally!

The longer term picture is still very concerning. BTC has continued its downtrend. BTC falls rapidly, consolidates for a while, and then makes another leg lower. If BTC can't break its current consolidation pattern to the upside, then this will be yet another fake out on our way lower.

If BTC can break through the resistance trend line at around $8,950, it could quickly move up to $10,000; however, if BTC breaks below the support trend line at $8,200, then BTC will most likely retest the $6,000 low.

I would recommend holding off on entering a position until the consolidation breaks one way or another. There will be a significant move after the trend breaks, and it will make for an incredibly easy trade; however, making the trade too soon is just a gamble. If you are patient enough the opportunity will come.

Steem might be forming a head and shoulders pattern on the 4 hour time frame. This is a very bearish chart pattern and might not bode well for Steem going forward. If Steem can't hold above $3.30 on poloniex or $3.50 on Bitrex, then it could retest the lows at $2.50. Steem must break through $3.90 on Poloniex or $4.15 on Bitrex in order to keep the rebound going. I would be extremely cautious entering a position at these levels, because it is very uncertain which way it will trade.

The long term down trend in Steem is still intact. Steem would have to break above $5 to put an end to the bear market.

SBD's are actually in the midst of very nice uptrend! The price consolidated back to the trend line and then continued higher! :)

The only concern is that SBD's might continue its pattern. Back on 1/17, SBD's bottomed and rallied sharply higher. SBD's overshot its uptrend, consolidated back to the trend line, and continued higher. But after moving higher, SBD's failed to make a new high and broke down through the support line. After breaking down, the sell off continued all the way back down to the lows. This pattern is eerily similar to the current bounce. I would be careful entering a trade until SBD's break through the most recent high. If it can break the down trend, the move could send SBD's all the way back up to $7!

The market is testing its downtrend resistance right now, and I would advise waiting for the trend to break higher before making a trade. As we have seen in the past couple months, buying the bounce has been a bad idea. I'll keep y'all updated going forward as we hopefully can put an end to the bear market!

Thanks for reading! :)