Apollo 13 was a human-crewed mission to the moon. The spacecraft fell victim to an accident while in space. The explosion on the ship created such catastrophic damage that the head of mission control decided to start the rescue process by determining what still worked on the spaceship. So, we will do the same after the recent crypto crash. We will review what we got right - and then move to what we got wrong. We call this an "Apollo 13" analysis.
What We Got Right: The breakout from the triangle formation near the apex would lead to a big move. We also noted this move could be huge because a measure of volatility - Bollinger Band Width - showed BTCUSD was due to get volatile.
What We Got Wrong: We felt there were macroeconomic forces at work that would lead to Bitcoin breaking out on the upside.
What We Don't Know: Bitcoin went down after a flash crash in the hash rate. This coincidental event could mean that there is a problem in the mining community. Perhaps the decline in alts is severe enough to trigger miners selling Bitcoin, Ethereum, and Litecoin to survive.
Bottom Line: BTCUSD is sitting on it's 200-day moving average. If nobody cares about that, and it doesn't hold, then we know there is a problem out there we don't fully understand. If there is a panic flush to 7k and then a rip back up, you can have confidence that now is an excellent long term buying opportunity.
What We Got Right: The breakout from the triangle formation near the apex would lead to a big move. We also noted this move could be huge because a measure of volatility - Bollinger Band Width - showed BTCUSD was due to get volatile.
What We Got Wrong: We felt there were macroeconomic forces at work that would lead to Bitcoin breaking out on the upside.
What We Don't Know: Bitcoin went down after a flash crash in the hash rate. This coincidental event could mean that there is a problem in the mining community. Perhaps the decline in alts is severe enough to trigger miners selling Bitcoin, Ethereum, and Litecoin to survive.
Bottom Line: BTCUSD is sitting on it's 200-day moving average. If nobody cares about that, and it doesn't hold, then we know there is a problem out there we don't fully understand. If there is a panic flush to 7k and then a rip back up, you can have confidence that now is an excellent long term buying opportunity.
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.
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.