BTC -- Daily Candle closed now -- We can watch the trend lines
Updated
A number of analysts here were sensing that BTC was due a pull back. Whether that was going to happen or not, the Tether announcement did it for us. How bad is it going to be?
The daily candle closed right on a support line, but the next candle opened below. I expect some waterfall from here as the Asian markets wake up and react. I'm actually surprised we didn't get more than a 6% reaction in these two+ hours since the news. Is that a hopeful sign? There is a big gap from the $5,018 trend-line down to the one below. That $1,100 explosion up from $4,200 means there is a large window with little support.
Long-term questions:
1) I'm assuming the Tether/Bitfinex business will take a while to air. How much effect will that have on Bitcoin over the next months as it resolves in court?
2) If Tether printing was responsible for a fair amount of the liquidity of exchanges, then what will happen to price?
3) I'm not offering predictions here, just showing trend lines I see and how they may serve as support. I personally will be surprised if this takes out the 3.1k bottom, but who can predict.
4) Altcoins? As BTC, so altcoin support...except for worse?
The daily candle closed right on a support line, but the next candle opened below. I expect some waterfall from here as the Asian markets wake up and react. I'm actually surprised we didn't get more than a 6% reaction in these two+ hours since the news. Is that a hopeful sign? There is a big gap from the $5,018 trend-line down to the one below. That $1,100 explosion up from $4,200 means there is a large window with little support.
Long-term questions:
1) I'm assuming the Tether/Bitfinex business will take a while to air. How much effect will that have on Bitcoin over the next months as it resolves in court?
2) If Tether printing was responsible for a fair amount of the liquidity of exchanges, then what will happen to price?
3) I'm not offering predictions here, just showing trend lines I see and how they may serve as support. I personally will be surprised if this takes out the 3.1k bottom, but who can predict.
4) Altcoins? As BTC, so altcoin support...except for worse?
Note
BTC -- 30 min chartPrice has managed to climb back up and flip resistance to support.
Will it hold though? If it can close a 4 hr candle there, perhaps.
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