Bitcoin Short Opportunity?
For those of us that have been in this game for a while and remember the hype around the $3000 milestone and the subsequent slaughter that followed down to $1800 do the charts look similar now?
All technical points tend to be leaning toward a reversal in my humble opinion.
Is this but another lead the lambs to the slaughter on hype, drop the price and pick it back up in the $7k or lower range?
Also 10k being this huge hyped milestone, so we hit it.. what then... I have seen BTC make the cross to a new hyped high on many occasions only to plummet thereafter as many of the bigger fish were waiting in the background to sell and put some profits in the the bank.
Take a second and compare the example chart to the most recent 12hr chart on BTC. Also in basically all time frames the volume is beginning to dry up on BTC.
Excerpt from Investopedia:
The chart above shows Aeropostale (ARO) with a bearish divergence forming in August through of September 2009. The MACD moved to a new high in September, however the MACD-Histogram formed a lower high. Notice that there are two definitive peaks (higher) with a dip in between on the MACD-Histogram (red line). The subsequent bearish signal line crossover foreshadowed a sharp decline in the stock.
Source: http://stockcharts.com/school/doku.php?id=chart_school:technical_indicators:macd-histogram
Notice any similarities?
Be careful....
I am out of Bitcoin for now. Alts are where I have parked my money.
Same story, here.. I'm playing a tight, tight litecoin game at the the moment, .50 cents here and there on a decent amount of coins. A trading strategy that at current reflects my midterm view on the market as a whole.
Also seems interesting when I see a 7.5 million dollar sell wall at 10k exactly.. feed the guppies then drain the pond...
Yea I hope you are right as I sold all my BTC at 8760 and been jamming with alts. Otherwise I have already missed out on $500 of easy profit. Hopefully my choices of LTC, BTS, OMG, XRP, and XBC pan out
The charts seem to indicate that. Also how soft it is at the top right now for BTC, with little downside support. When I am looking at the order book and see Buy 1k or sell 150 to move the price 2 percent up or down respectively that tells me the bottom is soft. If I were a whale I would wait a bit more, then push hard down to hit the stop loss orders of other traders and trigger a much greater drop then sit at the bottom and gobble it up..