BTC Relief into $35,000 range ( support/ resistance corridor )
BTC acting as expected. The current support line is very strong that stretches through 2021 June-July.
The current corridor is formed in 30,000 to 35,000 with some up or downticks below.
General sentiment stands to hold well- relief for markets. This comes due to many macro indicators and some chain-data suggestions.
As with the previous TA, we should validate the current play with:
- DXY ( Dollar Strenght Average ) is declining, indicating that the dollar will weaken.
- BTC shorts liquidated.
- SP500, NASDAQ relief. (BTC seems to have delayed correlation)
- Chain-Data buy signals popping up.
- Institutional public communication supporting BTC.
The current small move can't draw a decisive conclusion for a trade. The levels need first to be defined with multi-day movement.
Close eye on the DXY, BTC shorts/ longs, Stocks, chain data, and institutional communication.
Caution: The current setup can become a Bull trap. We had a similar pattern in June -July 2021 where the bulls escaped the corridor and led the market to new ATH. However, this time the sentiment is weaker. People are scared and often make irrational decisions based on some market moves - this is something the institutions are ready to exploit. The fear is that once relief starts and emotions start to jump, we might see another dump caused by the institutional exit. Such even on large scale will cause further downturn to the next support line around
Thanks,
0xTed
The current corridor is formed in 30,000 to 35,000 with some up or downticks below.
General sentiment stands to hold well- relief for markets. This comes due to many macro indicators and some chain-data suggestions.
As with the previous TA, we should validate the current play with:
- DXY ( Dollar Strenght Average ) is declining, indicating that the dollar will weaken.
- BTC shorts liquidated.
- SP500, NASDAQ relief. (BTC seems to have delayed correlation)
- Chain-Data buy signals popping up.
- Institutional public communication supporting BTC.
The current small move can't draw a decisive conclusion for a trade. The levels need first to be defined with multi-day movement.
Close eye on the DXY, BTC shorts/ longs, Stocks, chain data, and institutional communication.
Caution: The current setup can become a Bull trap. We had a similar pattern in June -July 2021 where the bulls escaped the corridor and led the market to new ATH. However, this time the sentiment is weaker. People are scared and often make irrational decisions based on some market moves - this is something the institutions are ready to exploit. The fear is that once relief starts and emotions start to jump, we might see another dump caused by the institutional exit. Such even on large scale will cause further downturn to the next support line around
Thanks,
0xTed
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