Bitcoin Market: Finger on the trigger.
Hi traders, I am watching the $5700 level very closely.
Here's why.
Crypto.
- The cryptoverse has been in a Bitcoin-led technical bear trend for over 7 months now.
Yet its fundamentals have never been stronger: Bitcoin's Lightning Network, cross-chain atomic swaps, Ethereum sharding, ZCash's Sapling upgrade or LEDGER's new custody solutions being some of many examples that spring to mind.
Add to that the involvement of institutional money, major VC funds and the promise of tokenized securities meant to revolutionize finance and a pattern starts to emerge: blockchain technology is finally going places.
Now, from this angle the current market trough is starting to look more and more like a time of maximum opportunity...
... Bitcoin has fallen from grace in the eyes of the general public...
... and market sentiment is very low on social media where emboldened nocoiners spawned from the darkest corners of r/buttcoin have started to come out of the woodwork to troll hodlers.
So, as a contrarian this when I start expecting the market to reverse in the face of those late bears. But since the market doesn't really care what I think, let's take the discussion to a more technical level.
Bitcoin.
Just like I anticipated Bitcoin dumped to $5700 which prompted me to open a starter position on the dip.
Bitcoin is staking on thin ice. It's bounced off of that very thin value node and is forming what could yet be another bearish flag foreshadowing more downside:
- As I explained in my last post, if we start auctioning down that thin value node and chew entirely through it, then there wouldn't be much volume to hold the price and a dump to $4500-ish would be very likely.
- On the flip side, if $6000 holds as it did before in this bear market, then we could see the market start rallying or, more probably, consolidate going into July which would also prompt me to add to my positions.
- At this point I'd say I lean 80% towards the bearish scenario (dump to $4400) and 20% towards consolidation but to tie this in with my crypto rant above, my plan is to substantially increase my trading positions if we get down to $4400. As you can see on the chart, the lower value node is huge...
... thus I think it will provide enough liquidity to absorb a market capitulation and act as a springboard for a rally or lower market accumulation.
What do you think traders?
Hi @tradealert, you have received an upvote from
tradealert. I'm the Vietnamese Community bot developed by witness @quochuy and powered by community SP delegations.@tradealert I think $5500 level is also achievable. What do you think?
Hey there, $5500 looks to be the bottom end of the current node value, I definitely think it's possible we get there but then I reckon chances will be high that we break lower. I guess we'll see though :)
Let us accumulate more coins at the dip if it breaks lower. :)
Good information along with useful chart
Thanks!
Good info. Seeing the willingness of the market to go to 5,500 makes me a little more bearish in the near term, as opposed to a sideways market, but it may have just been a head fake to blow through stop losses.
Thanks @crypto-investor, I still think we need some real panic and high volume capitulation before the market starts a brand new cycle of accumulation. That $5500 mark represents the very bottom edge of the current balance and there is absolutely no volume underneath. Volume wells generally act as repellent for the price unless there is some strong momentum/volume in which case it'll produce one of these large candles. If we produce one of these I reckon it'll be a capitulation candle down to the $ 4500-ish area which is a much stronger value node. Once there, the direction of the auction will depend on market sentiment/willingness of large players to support the price. In any case I am not going into anything heavy before I see either capitulation or accumulation, trading with the trend ;)
PS: have you given up making YouTube videos?
$4400? Yikes!
I'd say 80% chance :)
chào người anh em.lâu lắm chúng ta không nói chuyện với nhau nhỉ
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