Hi Traders!
19 May will be remembered as the Black Swan event for the crypto space. After everyone took a deep breath, the media now begins to flood the markets with FUD and calls for regulation. The mood is so bearish that traders expect at least a re-test of the 30k-35k area.
While that is a possibility, it does not mean it has to happen! The worst idea is to get into swing trades with an assumption what price "should do". The truth is, nobody knows where BTC goes from here. Not even CNBC.
The right thing to do now is:
+ Completely ignore the media, Twitter, and fellow traders.
+ Focus on what's real: Price action, volume, demand and supply.
+ Prepare for a scenario in which BTC does not reach sub-35k again.
+ Focus on small leveraged trades with tight SL.
+ Take this opportunity to DCA your long-term spot holdings.
What I see is that BTC follows the Fib nicely and started to range (accumulate) below diagonal resistance. This trend line needs to break in order to repair the structure and set a higher high to confirm trend reversal. In the volume we can observe demand spikes, a very bullish sign that re-accumulation is underway. Price also attempts to re-gain the 200 day EMA.
Short term trade idea: Looking for long entries above the volume profile support, that means 39800-ish, and speculating on a break of the diagonal resistance.
Alternatively: long the re-test if a breakout happens and carry the position into the next resistance at 43k and potentially the 1.26 fib extension at 46k.
Happy trading!
19 May will be remembered as the Black Swan event for the crypto space. After everyone took a deep breath, the media now begins to flood the markets with FUD and calls for regulation. The mood is so bearish that traders expect at least a re-test of the 30k-35k area.
While that is a possibility, it does not mean it has to happen! The worst idea is to get into swing trades with an assumption what price "should do". The truth is, nobody knows where BTC goes from here. Not even CNBC.
The right thing to do now is:
+ Completely ignore the media, Twitter, and fellow traders.
+ Focus on what's real: Price action, volume, demand and supply.
+ Prepare for a scenario in which BTC does not reach sub-35k again.
+ Focus on small leveraged trades with tight SL.
+ Take this opportunity to DCA your long-term spot holdings.
What I see is that BTC follows the Fib nicely and started to range (accumulate) below diagonal resistance. This trend line needs to break in order to repair the structure and set a higher high to confirm trend reversal. In the volume we can observe demand spikes, a very bullish sign that re-accumulation is underway. Price also attempts to re-gain the 200 day EMA.
Short term trade idea: Looking for long entries above the volume profile support, that means 39800-ish, and speculating on a break of the diagonal resistance.
Alternatively: long the re-test if a breakout happens and carry the position into the next resistance at 43k and potentially the 1.26 fib extension at 46k.
Happy trading!
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.