BTC Update! Bears try to shift the trend! Why we were cautious!
Updated
Crypto traders! Well we are seeing the trend potentially change again to the bears. Yesterdays post I discussed being cautious here after noticing ETH and LTC had not formed higher highs like BTC had and being surprised BTC was able to.
So I had 20% of my position remaining and had snuck it just under the last higher low which at the time was $4078. The bulls got one more final push for a higher high to $4415 and again, ETH and LTC did not. Another red flag. Bulls did form yet another higher low compared to $4078 with it being $4110 and this became my new SL. Big red flag was the push to a lower high on 4 hour which was $4298. I double checked my SL at $4110 and went to bed fully expecting I'd be stopped out by morning with the bulls falling to a lower low. And sure enough I was and was perfectly fine with locking in remainder of my profits from the trade. Bulls lost their higher high and now lost their higher lows on the 4 hour chart. Currently resistances up at $4298 and then the high of $4415. Support down at $3869 which is the current lower low and will wait to see if it confirms on a bounce for BTC or if the bears send us lower first. But I'd still expect another lower high regardless compared to $4298 on this 4 hour chart. For bulls to take back over they will need a higher low and then the higher high.
See inset picture for daily... it does appear this is our daily chart now consolidating after 3 green candles in a row. Anything above the low at $3457 is a higher low on the daily so there is decent chance the bulls can form that. If it's at $3869 that would be great but anything above $3457 works. Higher up the better for the bulls as it gives them breathing space and they'd then look to shift daily back to a higher high to shift the daily chart from lower highs and lower lows to higher lows and higher highs. Red flags from here include increasing bear volume or bulls completely losing the higher low opportunity on daily.
I am personally back to cash and really have no interest until the 4 hour trend shift back to higher lows and higher highs. The old saying is the trend is your friend. BTC is not going to run away to crazy highs anytime soon in my opinion so no need to always be in or looking to be in a position. This week was a great run for the bulls with about a 28% run from the low and gave for a great trade opportunity. I'll now patiently wait for the next ideal trade entry where it is low risk and trend is back in the bulls favor.
Just My 2 Sats!
So I had 20% of my position remaining and had snuck it just under the last higher low which at the time was $4078. The bulls got one more final push for a higher high to $4415 and again, ETH and LTC did not. Another red flag. Bulls did form yet another higher low compared to $4078 with it being $4110 and this became my new SL. Big red flag was the push to a lower high on 4 hour which was $4298. I double checked my SL at $4110 and went to bed fully expecting I'd be stopped out by morning with the bulls falling to a lower low. And sure enough I was and was perfectly fine with locking in remainder of my profits from the trade. Bulls lost their higher high and now lost their higher lows on the 4 hour chart. Currently resistances up at $4298 and then the high of $4415. Support down at $3869 which is the current lower low and will wait to see if it confirms on a bounce for BTC or if the bears send us lower first. But I'd still expect another lower high regardless compared to $4298 on this 4 hour chart. For bulls to take back over they will need a higher low and then the higher high.
See inset picture for daily... it does appear this is our daily chart now consolidating after 3 green candles in a row. Anything above the low at $3457 is a higher low on the daily so there is decent chance the bulls can form that. If it's at $3869 that would be great but anything above $3457 works. Higher up the better for the bulls as it gives them breathing space and they'd then look to shift daily back to a higher high to shift the daily chart from lower highs and lower lows to higher lows and higher highs. Red flags from here include increasing bear volume or bulls completely losing the higher low opportunity on daily.
I am personally back to cash and really have no interest until the 4 hour trend shift back to higher lows and higher highs. The old saying is the trend is your friend. BTC is not going to run away to crazy highs anytime soon in my opinion so no need to always be in or looking to be in a position. This week was a great run for the bulls with about a 28% run from the low and gave for a great trade opportunity. I'll now patiently wait for the next ideal trade entry where it is low risk and trend is back in the bulls favor.
Just My 2 Sats!
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