BITCOIN - A Dangerous Weekend
Hello everyone, rouzwelt here
I've been talking about the probability of bitcoin dumping in my last few posts, I have pointed the reasons behind my opinion and as you can see in the screenshot below of my last post on bitcoin hourly timeframe, price has dumped quite accurately compared to my projection, so this post is a follow-up on that post.
Right now price is sitting on the lower side of the purple downward channel, it started its move from upper side of the channel to the lower side with 3 touches on the red down-trend line which makes that trend line valid. So as we are heading into the weekend we can expect higher volatility due to lower liquidity in the market, and that can be the catalyst for a possible break-down as price is reaching the crossing point of the lower side of the purple channel, main blue down-trend line and red short down-trend line which makes this point a critical one in TA terms as probably many traders are closely monitoring the price action near it. I believe that a break-down is more probable at this moment when I look at the current technical and fundamental data. But don't get me wrong, price is at support zone of 30 - 32k and it's a strong psychological one, so a bounce can happen. But the issue is that bulls are not doing much, in fact if you look at previous times when price reached this support zone, it bounced quickly and sharply, but right now so far bull couldn't repeat that, and that brings the question that are the bulls' efforts still enough to hold the support or not?
Well if that is not easy for bulls, then they should wait and see how much more difficult their job will be if they manage to bring us back to 35K and above. They have a lot work ahead of them compared to bears, so if we want to see higher levels again, bulls must do a hell of a job. So all that said makes me give the odds to bears at this moment and as a trader I should leave my emotions behind the door, it doesn't matter how much I enjoy higher prices, my job is to take advantage of any opportunity the chart presents me, down or up.
My short position is still open at 32850 and I have moved my SL to entry and took 30% profit at 31200, so I'll be in profit on this trade no matter what else happens. If you liked my analysis then please consider supporting me by hitting like and comment if you have any opinion about it, I'd appreciate it a lot, and as always have fun and trade safe.
I've been talking about the probability of bitcoin dumping in my last few posts, I have pointed the reasons behind my opinion and as you can see in the screenshot below of my last post on bitcoin hourly timeframe, price has dumped quite accurately compared to my projection, so this post is a follow-up on that post.
Right now price is sitting on the lower side of the purple downward channel, it started its move from upper side of the channel to the lower side with 3 touches on the red down-trend line which makes that trend line valid. So as we are heading into the weekend we can expect higher volatility due to lower liquidity in the market, and that can be the catalyst for a possible break-down as price is reaching the crossing point of the lower side of the purple channel, main blue down-trend line and red short down-trend line which makes this point a critical one in TA terms as probably many traders are closely monitoring the price action near it. I believe that a break-down is more probable at this moment when I look at the current technical and fundamental data. But don't get me wrong, price is at support zone of 30 - 32k and it's a strong psychological one, so a bounce can happen. But the issue is that bulls are not doing much, in fact if you look at previous times when price reached this support zone, it bounced quickly and sharply, but right now so far bull couldn't repeat that, and that brings the question that are the bulls' efforts still enough to hold the support or not?
Well if that is not easy for bulls, then they should wait and see how much more difficult their job will be if they manage to bring us back to 35K and above. They have a lot work ahead of them compared to bears, so if we want to see higher levels again, bulls must do a hell of a job. So all that said makes me give the odds to bears at this moment and as a trader I should leave my emotions behind the door, it doesn't matter how much I enjoy higher prices, my job is to take advantage of any opportunity the chart presents me, down or up.
My short position is still open at 32850 and I have moved my SL to entry and took 30% profit at 31200, so I'll be in profit on this trade no matter what else happens. If you liked my analysis then please consider supporting me by hitting like and comment if you have any opinion about it, I'd appreciate it a lot, and as always have fun and trade safe.
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