1/31/18 BTC update - Pansy Zombie Bears.
Alright, so we had a little bit of a sell off, whoop-de-doo... Being that there was no MAJOR drop IMO, we are clearly seeing a lack of resolve from the sellers at this point. Yes, bears brought price down below 10k, but this wedge is looking like a HOTTIE to me.
*Support* Truth be told, the 10k resistance on the way up wasn't that strong. I'm personally not expecting price to hold here to long, although it could. 10k could be like that girl in high school that was... eh, and then now 4 years later, dudes be breakin' their neck thinking "what happened to her!?" Considering 1 month in cryptos is like 4 normal years... it could happen!
*Buy Zones* Either way, this dreaded correction is almost over. I've got some extra property in west palm beach I'm going to take a 5th mortgage out on if we see prices sub 8k. 8k is NOT out of realm (in all seriousness). We could see a small high created today/tomorrow and another leg down. Or it could break out! We need a violent bull move to be convinced we are out of the downward move.
* Wedge Pattern* Will we see extreme price action at the end of the wedge? Only time will tell. Descending wedges are generally bullish in market structure. Personally, I anticipate some bulls coming in and grinding back up until we get to 12k or so, then once everyone is well convinced we are out of the correction the after burners will come in and we will be back at 18k shortly from that point.
*Volume* Some asked me to comment on the lack of volume. To me this shows indecisiveness more than weakness. True, the bulls aren't stepping in to buy, but maybe most the sellers have already sold as well. I should have mentioned this in my original post. Volume IS important however the lack of volume, to me, isn't telling me that we are due for more intense selling at this point.
As always, alts will suffer a little bit on this drop... and then everything will likely bounce and BTC finds its feet. When btc takes off... hold on!
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