HODDLERS should add here with a DCA mindset...
It’s been one-way traffic in BTC since Nov last year with very few good opportunities for bears to enter shorts or for weak longs to exit. It's possible that longs could be trapped in uncomfortable drawdown positions but there's hope for the bulls as the market gap from July 21 has now been filled with just a little more imbalance below.
I see the following as options from here:
1. A closing of the small imbalance at 31k followed by continuation of the long term bull move (indicated by last daily Higher Low in July last 2021). This would need to see a break and close above 44k (indicated by pink link on chart) to confirm that bull trend is likely to continue.
2. A short term relief rally to 42k area followed by a continuation of the bearish move started in Nov. This could be a good place to short if you're bearish BTC.
3. A continuation of the current move lower and a close below 30k. This will signal the official start of the crypto bear market with potential moves down to 20k and even 12k below that.
Long term investors or HODLERS could consider adding to, or starting longs positions at these as levels if you're willing to take a DCA (Dollar Cost Averaging) approach to accumulating BTC. And for anyone new to crypto trading this is not a bad place to get started with your crypto portfolio. Be mindful that there is downside potential in the short to medium term but in all likelihood, buying BTC at 33k will probably be seen as a great investment in years to come.
I see the following as options from here:
1. A closing of the small imbalance at 31k followed by continuation of the long term bull move (indicated by last daily Higher Low in July last 2021). This would need to see a break and close above 44k (indicated by pink link on chart) to confirm that bull trend is likely to continue.
2. A short term relief rally to 42k area followed by a continuation of the bearish move started in Nov. This could be a good place to short if you're bearish BTC.
3. A continuation of the current move lower and a close below 30k. This will signal the official start of the crypto bear market with potential moves down to 20k and even 12k below that.
Long term investors or HODLERS could consider adding to, or starting longs positions at these as levels if you're willing to take a DCA (Dollar Cost Averaging) approach to accumulating BTC. And for anyone new to crypto trading this is not a bad place to get started with your crypto portfolio. Be mindful that there is downside potential in the short to medium term but in all likelihood, buying BTC at 33k will probably be seen as a great investment in years to come.
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